[Congressional Record (Bound Edition), Volume 145 (1999), Part 2]
[Senate]
[Pages 2165-2181]
[From the U.S. Government Publishing Office, www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mr. BINGAMAN:
  S. 397. A bill to authorize the Secretary of Energy to establish a 
multiagency program in support of the Materials Corridor Partnership 
Initiative to promote energy efficient, environmentally sound economic 
development along the border with Mexico through the research, 
development, and use of new materials; to the Committee on Energy and 
Natural Resources.


          NATIONAL MATERIALS CORRIDOR PARTNERSHIP ACT OF 1999

 Mr. BINGAMAN. Mr. President, today I am pleased to introduce 
the ``National Materials Corridor Partnership Act of 1999.'' This bill 
will establish a comprehensive, multiagency program, led by the 
Department of Energy, to promote energy efficient, environmentally 
sound economic development along the U.S.-Mexican border through the 
research, development, and use of new materials technology. I am also 
pleased to say that I developed this bill with Congressman George 
Brown, the ranking member of the House Science Committee, who will 
introduce it in the House of Representatives.
  As many of you are aware, NAFTA and the globalization of our economy 
have created a surge of economic growth all along the 2000 mile U.S.-
Mexican border. The border region has become a major center for 
manufacturing and assembly in many industries, such as microelectronics 
and automobile parts, as well as a center for many materials 
industries, such as metals and plastics. However, with this economic 
growth have come serious problems. Pollution, hazardous wastes, and the 
inefficient use of resources threaten people's health and the prospects 
for long term economic growth. For example, there are numerous ``non-
attainment'' regions for carbon monoxide and ozone along the border. If 
you've been down to the El Paso area, where New Mexico, Texas, and 
Mexico come together, your eyes and nose will tell you something's not 
as it should be.

[[Page 2166]]

  However, solutions to some of these problems may lie close at hand--
in new materials technologies. There are many research institutions 
along both sides of the border which have expertise in materials 
technology. In my state alone, Los Alamos and Sandia National Labs, New 
Mexico Tech, and the University of New Mexico, among others, are all 
involved in materials research. The importance of materials technology 
is often underappreciated, perhaps because it is so ubiquitous. But in 
many cases it is the very wellspring of technological revolutions. We 
have named various epochs of our history after new materials--the Stone 
Age, the Bronze Age, the Iron Age--because of how powerfully they can 
change our lives. Even today, materials science gave us the transistors 
and fiber optics lines that created the information age, the age of 
Silicon Valley. Materials technology can be a very powerful tool for 
improving people's standard of living.
  Of course, the technologies coming out of this program are unlikely 
to create a new age, but they will be extremely helpful. For example, 
there are many family operated brick factories along the border which 
use very dirty fuels, like old tires, to fire their kilns. This fuel 
is, as you might guess, extremely polluting. In fact, brick factories 
are the third most significant source of air pollution along the 
border, after automobiles and road dust. Los Alamos has looked at 
redesigning the kilns, a materials processing technology, to use much 
less fuel and have a lower reject rate. This means less pollution and 
suggests the possibility of maybe even using natural gas to 
economically fire the kilns. The end result could be a major reduction 
in one pollution source.
  Another well known problem is the solvents the microelectronics 
industry uses to clean its devices during assembly, which also 
contribute to smog. Los Alamos has developed a way to substitute 
supercritical carbon dioxide for these solvents within a closed system. 
This substitution of materials could reduce energy consumption, 
processing time, and an important source of industrial pollution.
  The idea for a U.S.-Mexican program to promote environmentally sound 
economic growth along the border via materials technology was 
originally suggested in 1993 by Hans Mark, then of the University of 
Texas, now the Director of Defense Research and Engineering. While 
Mexico's economic crisis of the early 90's stalled things, in 1998 the 
Mexican government revived the idea, proposing a ``Materials Corridor 
Partnership Initiative'' to the U.S.-Mexican Binational Commission, and 
offering $1 million of funding for it if the United States would do the 
same. While an informal group with many research organizations, the 
``Materials Corridor Council,'' has organized itself in response, the 
U.S. government has yet to pick up on the Mexican offer. My legislation 
is meant to kick start the ``Materials Corridor Partnership 
Initiative'' inside the federal government.
  So, what are the features of the program? It would be an interagency 
program led by the Department of Energy (DOE). An interagency program 
is a good way to bring various talents to bear on complex problems. DOE 
is a good choice to lead this program because its energy efficiency and 
national security missions, including nuclear cleanup, have led it to 
develop a large array of materials technologies to improve energy 
efficiency, reduce pollution, or handle hazardous wastes. In fact, in 
1996, DOE was the largest civilian funder of materials research. Under 
DOE's leadership, the State Department, Environmental Protection 
Agency, National Science Foundation, and National Institutes of 
Standards and Technology will bring their complementary capabilities to 
the program as diplomats, environmental scientists, basic researchers, 
and standards experts.
  The program will focus on materials technology to improve energy 
efficiency, minimize or eliminate pollution and global climate change 
gases, and use recycled materials as primary materials through three 
types of projects. First, there will be applied research projects aimed 
at showing the feasibility of a materials technology in order to hasten 
its adoption by industry. These projects will typically be led by 
companies, and to ensure the firms are really interested in the 
technology, the federal government will pay no more than 50% of the 
cost of such a project. Second, there will be basic research projects 
to discover new knowledge useful in creating these materials 
technologies; these will typically be led by an academic or other 
research institutions. Third, there will education and training 
projects to train border scientists, engineers, and workers in these 
new technologies. To cover this, the bill authorizes $5 million per 
year for five years.
  Finally, this program will be a cooperative program with Mexico. Our 
border is, by definition, something we share. We share its 
opportunities and its problems, so it makes sense to share the 
solutions. Pollution needs no passport. Now, perhaps we will still be 
able to pick up Mexico's offer of $1 million for this program, but, in 
any event, the bill calls upon the Secretary of Energy to encourage 
Mexican organizations to contribute to it. And, to foster U.S.-Mexican 
cooperation whenever possible, the bill allows U.S. funds to be used by 
organizations located in Mexico provided Mexican organizations 
contribute significant resources to that particular project. Working 
closely with the Mexicans to solve our common problems will be much 
more effective than trying to go it alone.
  Mr. President, I think the ``National Materials Corridor Partnership 
Act of 1999'' is an idea whose time has finally arrived. I hope my 
colleagues, particularly from the states along the U.S.-Mexican border, 
will join me in supporting this important piece of legislation.
  Mr. President, I ask unanimous consent that the text of the bill be 
placed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows.

                                 S. 397

       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 ``National Materials Corridor 
     Partnership Act of 1999''.

     SEC. 2. FINDINGS.

       Congress finds that--
       (1) the region adjacent to the 2,000-mile border between 
     the United States and Mexico is an important region for 
     energy-intensive manufacturing and materials industries 
     critical to the economic and social wellbeing of both 
     countries;
       (2) there are currently more than 800 multinational firms 
     (including firms known as ``maquiladoras'') representing 
     United States investments of more than $1,000,000,000 in the 
     San Diego, California, and Tijuana, Baja California, border 
     region and in the El Paso, Texas, and Juarez, Chihuahua, 
     border region;
       (3) materials and materials-related industries comprise a 
     major portion of the industries operating on both sides of 
     the border, amounting to more than $6,800,000,000 in annual 
     commerce on the Mexican side alone;
       (4) there are a significant number of major institutions in 
     the border States of both countries currently conducting 
     academic and research activities in materials;
       (5)(A) the United States Government currently invests 
     approximately $1,000,000,000 annually in materials research, 
     of which, in 1996, the Department of Energy funded the 
     largest proportion of civilian materials research; and
       (B) there are also major materials programs at the National 
     Science Foundation, the National Institute of Standards and 
     Technology, and Department of Defense, among other entities;
       (6) the United States and Mexico have invested heavily in 
     domestic and binational cooperative programs to address major 
     concerns for the natural resources, environment, and public 
     health of the United States-Mexico border region, expending 
     hundreds of millions of dollars annually in those efforts;
       (7)(A) scientific and technical advances in materials and 
     materials processing provide major opportunities for--
       (i) significantly improving energy efficiency;
       (ii) reducing emissions of global climate change gases;
       (iii) using recycled natural resources as primary materials 
     for industrial production; and
       (iv) minimizing industrial wastes and pollution; and
       (B) such advances will directly benefit both sides of the 
     United States-Mexico border by encouraging energy efficient, 
     environmentally sound economic development that

[[Page 2167]]

     protects the health and natural resources of the border 
     region;
       (8)(A) promoting clean materials industries in the border 
     region that are energy efficient has been identified as a 
     high priority issue by the United States-Mexico Foundation 
     for Science Cooperation; and
       (B) at the 1998 discussions of the United States-Mexico 
     Binational Commission, Mexico formally proposed joint funding 
     of a ``Materials Corridor Partnership Initiative'', proposing 
     $1,000,000 to implement the Initiative if matched by the 
     United States;
       (9) recognizing the importance of materials and materials 
     processing, academic and research institutions in the border 
     States of both the United States and Mexico, in conjunction 
     with private sector partners of both countries, and with 
     strong endorsement from the Government of Mexico, in 1998 
     organized the Materials Corridor Council to implement a 
     cooperative program of materials research and development, 
     education and training, and sustainable industrial 
     development as part of the Materials Corridor Partnership 
     Initiative; and
       (10) successful implementation of the Materials Corridor 
     Partnership Initiative would advance important United States 
     energy, environmental, and economic goals not only in the 
     United States-Mexico border region but also as a model for 
     similar collaborative materials initiatives in other regions 
     of the world.

     SEC. 3. PURPOSE.

       The purpose of this Act is to establish a multiagency 
     program in support of the Materials Corridor Partnership 
     Initiative referred to in section 2(8) to promote energy 
     efficient, environmentally sound economic development along 
     the United States-Mexico border through the research, 
     development, and use of new materials technology.

     SEC. 4. DEFINITIONS.

       In this Act:
       (1) Program.--The term ``program'' means the program 
     established under section 5(a).
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of Energy.

     SEC. 5. ESTABLISHMENT AND IMPLEMENTATION OF THE PROGRAM.

       (a) Establishment.--
       (1) In general.--The Secretary shall establish a 
     comprehensive program to promote energy efficient, 
     environmentally sound economic development along the United 
     States-Mexico border through the research, development, and 
     use of new materials technology.
       (2) Considerations.--In developing the program, the 
     Secretary shall give due consideration to the proposal made 
     to the United States-Mexico Binational Commission for the 
     Materials Corridor Partnership Initiative.
       (b) Participation of Other Federal Agencies.--The Secretary 
     shall organize and conduct the program jointly with--
       (1) the Department of State;
       (2) the Environmental Protection Agency;
       (3) the National Science Foundation;
       (4) the National Institute of Standards and Technology; and
       (5) any other departments or agencies the participation of 
     which the Secretary considers appropriate.
       (c) Participation of the Private Sector.--When appropriate, 
     funds made available under this Act shall be made available 
     for research and development or education and training 
     activities that are conducted with the participation and 
     support of private sector organizations located in the United 
     States and, subject to section 7(c)(2), Mexico, to promote 
     and accelerate in the United States-Mexico border region the 
     use of energy efficient, environmentally sound technologies 
     and other advances resulting from the program.
       (d) Mexican Resource Contributions.--The Secretary shall--
       (1) encourage public, private, nonprofit, and academic 
     organizations located in Mexico to contribute significant 
     financial and other resources to the program; and
       (2) take any such contributions into account in conducting 
     the program.
       (e) Transfer of Technology From National Laboratories.--In 
     conducting the program, the Secretary shall emphasize the 
     transfer and use of materials technology developed by the 
     national laboratories of the Department of Energy before the 
     date of enactment of this Act.

     SEC. 6. ACTIVITIES AND MAJOR PROGRAM ELEMENTS.

       (a) Activities.--Funds made available under this Act shall 
     be made available for research and development and education 
     and training activities that are primarily focused on 
     materials, and the synthesis, processing, and fabrication of 
     materials, that promote--
       (1) improvement of energy efficiency;
       (2) elimination or minimization of emissions of global 
     climate change gases and contaminants;
       (3) minimization of industrial wastes and pollutants; and
       (4) use of recycled resources as primary materials for 
     industrial production.
       (b) Major Program Elements.--
       (1) In general.--The program shall have the following major 
     elements:
       (A) Applied research, focused on maturing and refining 
     materials technologies to demonstrate the feasibility or 
     utility of the materials technologies.
       (B) Basic research, focused on the discovery of new 
     knowledge that may eventually prove useful in creating 
     materials technologies to promote energy efficient, 
     environmentally sound manufacturing.
       (C) Education and training, focused on educating and 
     training scientists, engineers, and workers in the border 
     region in energy efficient, environmentally sound materials 
     technologies.
       (2) Applied research.--Applied research projects under 
     paragraph (1)(A) should typically involve significant 
     participation from private sector organizations that would 
     use or sell such a technology.
       (3) Basic research.--Basic research projects conducted 
     under paragraph (1)(B) should typically be led by an academic 
     or other research institution.

     SEC. 7. PARTICIPATION OF DEPARTMENTS AND AGENCIES OTHER THAN 
                   THE DEPARTMENT OF ENERGY.

       (a) Agreement.--Not later than 120 days after the date of 
     enactment of this Act, the Secretary shall enter into an 
     agreement with the departments and agencies referred to in 
     section 5(b) on the coordination and implementation of the 
     program.
       (b) Actions of Departments and Agencies.--Any action of a 
     department or agency under an agreement under subsection (a) 
     shall be the responsibility of that department or agency and 
     shall not be subject to approval by the Secretary.
       (c) Use of Funds.--
       (1) In general.--The Secretary and the departments and 
     agencies referred to in section 5(b) may use funds made 
     available for the program for research and development or 
     education and training activities carried out by--
       (A) State and local governments and academic, nonprofit, 
     and private organizations located in the United States; and
       (B) State and local governments and academic, nonprofit, 
     and private organizations located in Mexico.
       (2) Condition.--Funds may be made available to a State or 
     local government or organization located in Mexico only if a 
     government or organization located in Mexico (which need not 
     be the recipient of the funds) contributes a significant 
     amount of financial or other resources to the project to be 
     funded.
       (d) Transfer of Funds.--The Secretary may transfer funds to 
     the departments and agencies referred to in section 5(b) to 
     carry out the responsibilities of the departments and 
     agencies under this Act.

     SEC. 8. PROGRAM ADVISORY COMMITTEE.

       (a) Establishment.--
       (1) In general.--The Secretary shall establish an advisory 
     committee consisting of representatives of the private, 
     academic, and public sectors.
       (2) Considerations.--In establishing the advisory 
     committee, the Secretary shall take into consideration 
     organizations in existence on the date of enactment of this 
     Act, such as the Materials Corridor Council and the Business 
     Council for Sustainable Development-Gulf Mexico.
       (b) Consultation and Coordination.--Departments and 
     agencies of the United States to which funds are made 
     available under this Act shall consult and coordinate with 
     the advisory committee in identifying and implementing the 
     appropriate types of projects to be funded under this Act.

     SEC. 9. FINANCIAL AND TECHNICAL ASSISTANCE.

       (a) In General.--Federal departments and agencies 
     participating in the program may provide financial and 
     technical assistance to other organizations to achieve the 
     purpose of the program.
       (b) Applied Research.--
       (1) Use of cooperative agreements.--
       (A) In general.--Federal departments and agencies shall, to 
     the extent practicable, use cooperative agreements to fund 
     applied research activities by organizations outside the 
     Federal Government.
       (B) National laboratories.--In the case of an applied 
     research activity conducted by a national laboratory, a 
     funding method other than a cooperative agreement may be used 
     if such a funding method would be more administratively 
     convenient.
       (2) Federal share.--
       (A) In general.--The Federal Government shall pay not more 
     than 50 percent of the cost of applied research activities 
     under the program.
       (B) Qualified funding and resources.--No funds or other 
     resources expended either before the start of a project under 
     the program or outside the scope of work covered by the 
     funding method determined under paragraph (1) shall be 
     credited toward the non-Federal share of the cost of the 
     project.
       (c) Basic Research and Education and Training.--
       (1) In general.--Federal departments and agencies shall, to 
     the extent practicable, use grants to fund basic research and 
     education and training activities by organizations outside 
     the Federal Government.
       (2) National laboratories.--In the case of a basic research 
     or education activity conducted by a national laboratory, a 
     funding method other than a grant may be used if such a 
     funding method would be more administratively convenient.
       (3) Federal share.--The Federal Government may fund 100 
     percent of the cost of the

[[Page 2168]]

     basic research and education and training activities of the 
     program.
       (d) Competitive Selection.--All projects funded under the 
     program shall be competitively selected using such selection 
     criteria as the Secretary, in consultation with the 
     departments and agencies referred to in section 5(b), 
     determines to be appropriate.
       (e) Accounting Standards.--
       (1) Waiver.--To facilitate participation in the program, 
     Federal departments and agencies may waive any requirements 
     for Government accounting standards by organizations that 
     have not established such standards.
       (2) GAAP.--Generally accepted accounting principles shall 
     be sufficient for projects under the program.
       (f) No Construction.--No program funds may be used for 
     construction.

     SEC. 10. AUTHORIZATION OF APPROPRIATIONS.

       There is authorized to be appropriated to carry out this 
     Act $5,000,000 for each of fiscal years 2000 through 
     2004.
                                 ______
                                 
      By Mr. CAMPBELL:
  S. 398. A bill to require the Secretary of the Treasury to mint coins 
in commemoration of Native American history and culture; to the 
Committee on Banking, Housing, and Urban Affairs.


                      The Buffalo Coin Act of 1999

 Mr. CAMPBELL. Mr. President, today I introduce the Buffalo 
Nickel Coin Act, a bill based on legislation I introduced in the 105th 
Congress, S. 1112 and Senate Amendment 3013. This bill authorizes the 
minting of a limited-edition commemorative coin, based on the design of 
the original Buffalo Nickel, which was in circulation from 1913 to 
1938. It also directs the dedication of profits from the sale of the 
coin to the construction of the Smithsonian's Museum of the Native 
American. This bill is in compliance with U.S.C. Title 31, the 
Commemorative Coin Act.
  In February 1998, I presented the design of the coin to the Mint and 
provided testimony regarding the history of the nickel and its design. 
Former Ambassador to Austria and Colorado buffalo rancher, Swanee Hunt, 
joined me at this presentation to share her support.
  Since then I have been working closely with officials at the Treasury 
and the Citizens Commemorative Coin Advisory Committee. The 
recommendation of the Committee is necessary in order to bring the coin 
into circulation. In their 1998 annual report, the Committee approved 
the minting of a half-dollar coin, based on the design of the Buffalo 
Nickel, which will go into circulation in 2001. The Committee's 
recommendation to put the coin into circulation in 2001 will coincide 
well with the Museum's scheduled opening date of 2002.
  This legislation reflects the goals of all interested parties, and 
still maintains the original goal of raising funds for the preservation 
of Native American artifacts in the Museum of the American Indian. I 
urge my colleagues to support passage of this bill.
  I ask unanimous consent that the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 398

       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 ``Buffalo Coin Act of 1999''.

     SEC. 2. BUFFALO HALF-DOLLAR.

       Section 5112 of title 31, United States Code, is amended by 
     adding at the end the following:
       ``(n) Buffalo Half-Dollar.--
       ``(1) Denominations.--Notwithstanding any other provision 
     of law, during the 3-year period beginning on January 1, 
     2001, the Secretary shall mint and issue each year not more 
     than 500,000 half-dollar coins, minted in accordance with 
     this title.
       ``(2) Design requirements.--The design of the half-dollar 
     coins minted under this subsection shall be based on the 
     original 5-cent buffalo nickel designed by James Earle Fraser 
     and minted from 1913 to 1938. Each coin shall have on the 
     obverse side a profile representation of a Native American, 
     and on the reverse side a representation of a buffalo.
       ``(3) Selection.--The design for the coins minted under 
     this subsection shall be--
       ``(A) selected by the Secretary, after consultation with 
     the Committee on Banking, Housing, and Urban Affairs of the 
     Senate, the Committee on Indian Affairs of the Senate, and 
     the Commission of Fine Arts; and
       ``(B) reviewed by the Citizens Commemorative Coin Advisory 
     Committee.
       ``(4) Quality of coins.--Coins minted under this subsection 
     shall be issued in uncirculated and proof qualities.
       ``(5) Sources of bullion.--The Secretary shall obtain 
     silver for minting coins under this subsection from sources 
     that the Secretary deems appropriate, including from 
     stockpiles established under the Strategic and Critical 
     Materials Stockpiling Act.
       ``(6) Mint facility.--Only 1 facility of the United States 
     Mint may be used to strike any particular quality of the 
     coins minted under this subsection.
       ``(7) Sale of coins.--
       ``(A) In general.--The coins issued under this subsection 
     shall be sold by the Secretary at a price equal to the sum 
     of--
       ``(i) the face value of the coins;
       ``(ii) the surcharge provided in subparagraph (D) with 
     respect to such coins; and
       ``(iii) the cost of designing and issuing the coins 
     (including labor, materials, dies, use of machinery, overhead 
     expenses, marketing, and shipping).
       ``(B) Bulk sales.--The Secretary shall make bulk sales of 
     the coins issued under this subsection at a reasonable 
     discount.
       ``(C) Prepaid orders.--The Secretary shall accept prepaid 
     orders for the coins minted under this subsection before the 
     issuance of such coins. Sale prices with respect to prepaid 
     orders shall be at a reasonable discount.
       ``(D) Surcharges.--All sales of coins minted under this 
     subsection shall include a surcharge of $3.00 per coin.
       ``(8) Distribution of surcharges.--
       ``(A) In general.--All surcharges received by the Secretary 
     from the sale of coins issued under this subsection shall be 
     paid promptly by the Secretary to the Numismatic Public 
     Enterprise Fund established under section 5134.
       ``(B) Proceeds.--Proceeds from the sale of coins minted 
     under this subsection shall be made available to the National 
     Museum of the American Indian for the purposes of--
       ``(i) commemorating the tenth anniversary of the 
     establishment of the Museum; and
       ``(ii) supplementing the endowment and educational outreach 
     funds of the Museum.''.
                                 ______
                                 
      By Mr. CAMPBELL (for himself and Mr. Inouye):
  S. 399. A bill to amend the Indian Gaming Regulatory Act, and for 
other purposes; to the Committee on Indian Affairs.


            Indian Gaming Regulatory Improvement Act of 1999

 Mr. CAMPBELL. Mr. President, today I introduce the Indian 
Gaming Regulatory Improvement Act of 1999, co-sponsored by Senator 
Inouye, to address two critical elements related to the federal 
component of Indian gaming regulation.
  With any legislation affecting Indian gaming, it is important to keep 
in mind the aims of the 1988 Indian Gaming Regulatory Act (IGRA): 
ensuring that gaming continues to be a tool for Indian economic 
development, and ensuring that the games conducted are kept free from 
corrupting forces to maintain the integrity of the industry.
  First, this bill provides necessary reforms in the area of gaming 
regulation by requiring that the National Indian Gaming Commission and 
the gaming tribes themselves, develop and implement a system of minimum 
internal control, background investigation and licensing standards for 
all tribes that operate class II and class III gaming.
  My intention in proposing these standards is to guarantee that gaming 
is conducted in a safe and fair manner at every tribal gaming facility 
in the United States not only to preserve gaming integrity but to 
provide certainty and security to the consumers of Indian gaming.
  Second, this legislation provides that the fees assessed are used 
only for the regulatory activities of the National Indian Gaming 
Commission (NIGC) by requiring that all fees be paid into a trust fund, 
which may only be accessed by the NIGC for purposes approved by 
Congress.
  The existing federal Indian gaming law was passed by Congress more 
than ten years ago. At that time, gaming was a small industry, 
consisting mainly of high stakes bingo operations, termed ``class II'' 
gaming under the statute.
  In 1988, virtually no one contemplated that gaming would become the 
billion dollar industry that exists today, providing tribes with much 
needed capital for development and employment opportunities where none 
previously existed.
  Because of gaming, some tribes have been wildly successful, fortunate 
because of their geographical location. These tribes employ thousands 
of people, both Indian and non-Indian, and

[[Page 2169]]

have greatly reduced the welfare rolls in their local area.
  Though gaming revenues have exploded in the last ten years, the IGRA 
has been significantly amended only one time. In 1997, I introduced an 
amendment that would allow the NIGC to assess fees against casino-style 
gaming operations, termed ``class III'' gaming under the statute, and 
to fund its regulatory efforts in Indian Country.
  Mr. President, these additional fees are necessary to ensure 
meaningful federal involvement in the regulation of class III gaming. 
As of January 1, 1998, approximately 77% of NIGC-approved management 
contracts were for class III operations. In 1997, the NIGC processed 
some 18,000 fingerprint cards and 21,000 investigative reports. The 
Commission also approved some 241 tribal gaming ordinances and, 
importantly, took 53 formal enforcement actions. The vast majority of 
these enforcement actions were issued against class III operations. 
Most striking, before the 1997 amendment was enacted, the NIGC employed 
only 7 investigators who were responsible for monitoring the entire 
Indian gaming industry.
  The 1997 amendment has enabled the NIGC to take steps to increase its 
regulation and enforcement efforts. Additionally, the Commission has 
been able to hire much-needed field investigators who are personally 
responsible for monitoring local tribal gaming operations. The 
Commission should be applauded for these activities.
  What these facts and figures do not reveal, however, is the 
significant amount of tribal and joint tribal-state regulatory 
activities undertaken at the local level. It should be noted that many 
Indian tribes, often working with the states where gaming is located, 
have developed sophisticated regulatory frameworks for their gaming 
operations.
  Many of those tribes have put in place standards regarding rules of 
play for their games, as well as financial and accounting standards for 
their operations. They are significant and for many tribes contribute 
the bulk of regulatory activities under the IGRA.
  The amendment I propose today would require the NIGC, prior to 
assessing any fee against an Indian gaming operation, to determine the 
nature and level of any such tribal or joint tribal-state regulatory 
activities and to reduce the fees assessed accordingly.
  The goals of this provision are two-fold: to provide the NIGC with 
the resources it needs to carry out its obligations under the IGRA, but 
to recognize the often significant regulatory activities at the local 
level.
  It is important for us to keep these facts, and the goals of the 
gaming statute, in mind. Where gaming exists, it provides a great 
opportunity for tribes to develop other business and development 
projects. However, it must be our goal, and it is my mission, to assist 
the tribes in the development of their economies through clean and 
efficient gaming operations.
  I urge my colleagues to support these reasonable and necessary 
amendments.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 399

       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 ``Indian Gaming Regulatory 
     Improvement Act of 1999''.

     SEC. 2. AMENDMENTS TO THE INDIAN GAMING REGULATORY ACT.

       The Indian Gaming Regulatory Act (25 U.S.C. 2701 et seq.) 
     is amended--
       (1) by striking the first section and inserting the 
     following:

     ``SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       ``(a) Short Title.--This Act may be cited as the `Indian 
     Gaming Regulatory Act'.
       ``(b) Table of Contents.--The table of contents for this 
     Act is as follows:

``Sec. 1. Short title; table of contents.
``Sec. 2. Congressional findings.
``Sec. 3. Purposes.
``Sec. 4. Definitions.
``Sec. 5. National Indian Gaming Commission.
``Sec. 6. Powers of Chairman.
``Sec. 7. Powers of Commission.
``Sec. 8. Commission staffing.
``Sec. 9. Commission--access to information.
``Sec. 10. Minimum standards.
``Sec. 11. Rulemaking.
``Sec. 12. Tribal gaming ordinances.
``Sec. 13. Management contracts.
``Sec. 14. Civil penalties.
``Sec. 15. Judicial review.
``Sec. 16. Subpoena and deposition authority.
``Sec. 17. Investigative powers.
``Sec. 18. Commission funding.
``Sec. 19. Authorization of appropriations.
``Sec. 20. Gaming on lands acquired after October 17, 1988.
``Sec. 21. Dissemination of information.
``Sec. 22. Severability.
``Sec. 23. Criminal penalties.
``Sec. 24. Conforming amendment.'';
       (2) by striking sections 2 and 3 and inserting the 
     following:

     ``SEC. 2. CONGRESSIONAL FINDINGS.

       ``Congress finds that--
       ``(1) Indian tribes are--
       ``(A) engaged in the operation of gaming activities on 
     Indian lands as a means of generating tribal governmental 
     revenue; and
       ``(B) licensing those activities;
       ``(2) because of the unique political and legal 
     relationship between the United States and Indian tribes, 
     Congress has the responsibility of protecting tribal 
     resources and ensuring the continued viability of Indian 
     gaming activities conducted on Indian lands;
       ``(3) clear Federal standards and regulations for the 
     conduct of gaming on Indian lands will assist tribal 
     governments in assuring the integrity of gaming activities 
     conducted on Indian lands;
       ``(4) a principal goal of Federal Indian policy is to 
     promote tribal economic development, tribal self-sufficiency, 
     and strong Indian tribal governments;
       ``(5) Indian tribes have the exclusive right to regulate 
     gaming activity on Indian lands, if the gaming activity--
       ``(A) is not specifically prohibited by Federal law; and
       ``(B) is conducted within a State that does not, as a 
     matter of criminal law and public policy, prohibit that 
     gaming activity;
       ``(6) Congress has the authority to regulate the privilege 
     of doing business with Indian tribes in Indian country (as 
     defined in section 1151 of title 18, United States Code);
       ``(7) systems for the regulation of gaming activities on 
     Indian lands should meet or exceed federally established 
     minimum regulatory requirements;
       ``(8) the operation of gaming activities on Indian lands 
     has had a significant impact on commerce with foreign 
     nations, and among the several States, and with the Indian 
     tribes; and
       ``(9) the Constitution of the United States vests Congress 
     with the powers to regulate commerce with foreign nations, 
     and among the several States, and with the Indian tribes, and 
     this Act is enacted in the exercise of those powers.

     ``SEC. 3. PURPOSES.

       ``The purposes of this Act are as follows:
       ``(1) To ensure the right of Indian tribes to conduct 
     gaming activities on Indian lands in a manner consistent 
     with--
       ``(A) the inherent sovereign rights of Indian tribes; and
       ``(B) the decision of the Supreme Court in California et 
     al. v. Cabazon Band of Mission Indians et al. (480 U.S.C. 
     202, 107 S. Ct. 1083, 94 L. Ed. 2d 244 (1987)), involving the 
     Cabazon and Morongo bands of Mission Indians.
       ``(2) To provide a statutory basis for the conduct of 
     gaming activities on Indian lands as a means of promoting 
     tribal economic development, tribal self-sufficiency, and 
     strong Indian tribal governments.
       ``(3) To provide a statutory basis for the regulation of 
     gaming activities on Indian lands by an Indian tribe that is 
     adequate to shield those activities from organized crime and 
     other corrupting influences, to ensure that an Indian tribal 
     government is the primary beneficiary of the operation of 
     gaming activities, and to ensure that gaming is conducted 
     fairly and honestly by both the operator and players.'';
       (3) in section 4--
       (A) by striking paragraphs (1) through (6) and inserting 
     the following:
       ``(1) Applicant.--The term `applicant' means any person who 
     applies for a license pursuant to this Act, including any 
     person who applies for a renewal of a license.
       ``(2) Attorney general.--The term `Attorney General' means 
     the Attorney General of the United States.
       ``(3) Chairman.--The term `Chairman' means the Chairman of 
     the Commission.
       ``(4) Class i gaming.--The term `class I gaming' means 
     social games played solely for prizes of minimal value or 
     traditional forms of Indian gaming engaged in by individuals 
     as a part of, or in connection with, tribal ceremonies or 
     celebrations.'';
       (B) by redesignating paragraphs (7) and (8) as paragraphs 
     (5) and (6), respectively;
       (C) in paragraph (5), as redesignated by subparagraph (B) 
     of this paragraph, by striking ``(5)(A) The term'' and 
     inserting ``(5) Class ii gaming.--(A) The term'';
       (D) in paragraph (6), as redesignated by subparagraph (B) 
     of this paragraph, by striking ``(6) The term'' and inserting 
     ``(6) Class iii gaming.--The term''; and

[[Page 2170]]

       (E) by adding after paragraph (6), as redesignated by 
     subparagraph (B) of this paragraph, the following:
       ``(7) Commission.--The term `Commission' means the National 
     Indian Gaming Commission established under section 5.
       ``(8) Compact.--The term `compact' means an agreement 
     relating to the operation of class III gaming on Indian lands 
     that is entered into by an Indian tribe and a State and that 
     is approved by the Secretary.
       ``(9) Gaming operation.--The term `gaming operation' means 
     an entity that conducts class II or class III gaming on 
     Indian lands.
       ``(10) Indian lands.--The term `Indian lands' means--
       ``(A) all lands within the limits of any Indian 
     reservation; and
       ``(B) any lands the title to which is held in trust by the 
     United States for the benefit of any Indian tribe or 
     individual or held by any Indian tribe or individual subject 
     to restriction by the United States against alienation and 
     over which an Indian tribe exercises governmental power.
       ``(11) Indian tribe.--The term `Indian tribe' means any 
     Indian tribe, band, nation, or other organized group or 
     community of Indians that--
       ``(A) is recognized as eligible by the Secretary for the 
     special programs and services provided by the United States 
     to Indians because of their status as Indians; and
       ``(B) is recognized as possessing powers of self-
     government.
       ``(12) Management contract.--The term `management contract' 
     means any contract or collateral agreement between an Indian 
     tribe and a contractor, if that contract or agreement 
     provides for the management of all or part of a gaming 
     operation.
       ``(13) Management contractor.--The term `management 
     contractor' means any person entering into a management 
     contract with an Indian tribe or an agent of the Indian tribe 
     for the management of a gaming operation, including any 
     person with a financial interest in that contract.
       ``(14) Net revenues.--With respect to a gaming activity, 
     net revenues shall constitute--
       ``(A) the annual amount of money wagered; reduced by
       ``(B)(i) any amounts paid out during the year involved for 
     prizes awarded;
       ``(ii) the total operating expenses for the year involved 
     (excluding any management fees) associated with the gaming 
     activity; and
       ``(iii) an allowance for amortization of capital expenses 
     for structures.
       ``(15) Person.--The term `person' means--
       ``(A) an individual; or
       ``(B) a firm, corporation, association, organization, 
     partnership, trust, consortium, joint venture, or other 
     nongovernmental entity.
       ``(16) Secretary.--The term `Secretary' means the Secretary 
     of the Interior.'';
       (4) in section 5(b)(3), by striking ``At least two members 
     of the Commission shall be enrolled members of any Indian 
     tribe.'' and inserting ``No fewer than 2 members of the 
     Commission shall be individuals who--
       ``(A) are each enrolled as a member of an Indian tribe; and
       ``(B) have extensive experience or expertise in Indian 
     affairs or policy.'';
       (5) in section 6(a)(4), by striking ``provided in sections 
     11(d)(9) and 12'' and inserting ``provided in sections 
     12(d)(9) and 13'';
       (6) by striking section 13;
       (7) by redesignating section 12 as section 13;
       (8) by redesignating section 11 as section 12;
       (9) by striking section 10 and inserting the following:

     ``SEC. 10. MINIMUM STANDARDS.

       ``(a) Class II Gaming.--As of the date of enactment of the 
     Indian Gaming Regulatory Improvement Act of 1999, an Indian 
     tribe shall retain the rights of that Indian tribe, with 
     respect to class II gaming and in a manner that meets or 
     exceeds the minimum Federal standards established under 
     section 11, to--
       ``(1) monitor and regulate that gaming;
       ``(2) conduct background investigations; and
       ``(3) establish and regulate internal control systems.
       ``(b) Class III Gaming Under a Compact.--With respect to 
     class III gaming conducted under a compact entered into under 
     this Act, an Indian tribe or State (or both), as provided in 
     such a compact or a related tribal ordinance or resolution 
     shall, in a manner that meets or exceeds the minimum Federal 
     standards established by the Commission under section 11--
       ``(1) monitor and regulate that gaming;
       ``(2) conduct background investigations; and
       ``(3) establish and regulate internal control systems.'';
       (10) by inserting after section 10 the following:

     ``SEC. 11. RULEMAKING.

       ``(a) In General.--Subject to subsection (b), not later 
     than 180 days after the date of enactment of the Indian 
     Gaming Regulatory Improvement Act of 1999, the Commission 
     shall, in accordance with the rulemaking procedures under 
     chapter 5 of title 5, United States Code, promulgate minimum 
     Federal standards relating to background investigations, 
     internal control systems, and licensing standards described 
     in section 10. In promulgating the regulations under this 
     section, the Commission shall consult with the Attorney 
     General, Indian tribes, and appropriate States.
       ``(b) Factors for Consideration.--In promulgating the 
     minimum standards under this section, the Commission may give 
     appropriate consideration to existing industry standards at 
     the time of the development of the standards and, in addition 
     to considering those existing standards, the Commission shall 
     consider--
       ``(1) the unique nature of tribal gaming as compared to 
     commercial gaming, other governmental gaming, and charitable 
     gaming;
       ``(2) the broad variations in the nature, scale, and size 
     of tribal gaming activity;
       ``(3) the inherent sovereign rights of Indian tribes with 
     respect to regulating the affairs of Indian tribes;
       ``(4) the findings and purposes under sections 2 and 3;
       ``(5) the effectiveness and efficiency of a national 
     licensing program for vendors or management contractors; and
       ``(6) any other matter that is consistent with the purposes 
     under section 3.'';
       (11) in section 12, as redesignated by paragraph (8) of 
     this section--
       (A) by striking subsection (a) and inserting the following:
       ``(a) Class I Gaming.--Class I gaming on Indian lands shall 
     be within the exclusive jurisdiction of the Indian tribes and 
     shall not be subject to the provisions of this Act.'';
       (B) in subsection (b)--
       (i) in paragraph (1)--

       (I) in subparagraph (A), by striking ``and'' at the end;
       (II) in subparagraph (B), by striking the period at the end 
     and inserting ``; and''; and
       (III) by striking the flush language following subparagraph 
     (B) and inserting the following:

       ``(C) such Indian gaming meets or exceeds the requirements 
     of this section and the standards established by the 
     Commission under section 11.'';
       (ii) in paragraph (2)--

       (I) in subparagraph (D), by striking ``$25,000'' and 
     inserting ``$100,000'';
       (II) in subparagraph (E), by striking ``and'' at the end; 
     and
       (III) in subparagraph (F)--

       (aa) by striking subclause (I) of clause (ii) and inserting 
     the following:
       ``(I) a tribal license for primary management officials and 
     key employees of the gaming enterprise, issued in accordance 
     with the standards established by the Commission under 
     section 11 with prompt notification to the Commission of the 
     issuance of such licenses;''; and
       (bb) in subclause (III) of clause (ii), by striking the 
     period and inserting ``; and''; and
       (ii) by adding at the end the following:
       ``(G) a separate license will be issued by the Indian tribe 
     for each place, facility, or location on Indian lands at 
     which class II gaming is conducted;'';
       (C) in subsection (c), by striking paragraph (3) and 
     inserting the following:
       ``(3) Any Indian tribe that operates, directly or with a 
     management contract, a class III gaming activity may petition 
     the Commission for a fee reduction if the Commission 
     determines that the Indian tribe has--
       ``(A) continuously conducted that gaming activity for a 
     period of not less than 3 years, including a period of not 
     less than 1 year that begins after the date of enactment of 
     the Indian Gaming Regulatory Improvement Act of 1999;
       ``(B) implemented standards that meet or exceed minimum 
     Federal standards established under section 11;
       ``(C) otherwise complied with the provisions of this Act; 
     and
       ``(D) paid all fees and assessments that the Indian tribe 
     is required to pay to the Commission under this Act.''; and
       (D) in subsection (d)--
       (i) in paragraph (2)(B)(ii), by striking ``section 
     12(e)(1)(D)'' and inserting ``section 13(e)(1)(D)''; and
       (ii) in paragraph (9), by striking ``section 12'' and 
     inserting ``section 13'';
       (12) in section 13, as redesignated by paragraph (7) of 
     this section, by striking ``section 11(b)(1)'' and inserting 
     ``section 12(b)(1)'';
       (13) in section 14--
       (A) in subsection (a)--
       (i) in paragraph (1), by striking ``section 11 or 12'' and 
     inserting ``section 12 or 13'';
       (ii) in paragraph (3), by striking ``section 11 or 12'' and 
     inserting ``section 12 or 13''; and
       (B) in subsection (b)(1), by striking ``section 11 or 12'' 
     and inserting ``section 12 or 13'';
       (14) in section 15, by striking ``sections 11, 12, 13, and 
     14'' and inserting ``sections 12, 13, and 14''; and
       (15) in section 18--
       (A) in subsection (a)--
       (i) by striking ``(a)(1) The'' and all that follows through 
     the end of paragraph (3) and inserting the following:
       ``(a) In General.--
       ``(1) Establishment of schedule of fees.--Except as 
     provided in paragraph (2)(C), the Commission shall establish 
     a

[[Page 2171]]

     schedule of fees to be paid to the Commission annually by 
     each gaming operation that conducts a class II or class III 
     gaming activity that is regulated by this Act.
       ``(2) Rate of fees.--
       ``(A) In general.--The rate of fees under the schedule 
     established under paragraph (1) imposed on the gross revenues 
     from each activity regulated under this Act shall be as 
     follows:
       ``(i) No more than 2.5 percent of the first $1,500,000 of 
     those gross revenues.
       ``(ii) No more than 5 percent of amounts in excess of the 
     first $1,500,000 of those gross revenues.
       ``(B) Total amount.--The total amount of all fees imposed 
     during any fiscal year under the schedule established under 
     paragraph (1) shall not exceed $8,000,000.
       ``(C) Mississippi band of choctaw.--Nothing in this section 
     shall be interpreted to permit the assessment of fees against 
     the Mississippi Band of Choctaw for any portion of the 3-year 
     period beginning on the date that is 2 years before the date 
     of enactment of the Indian Gaming Regulatory Improvement Act 
     of 1999.
       ``(3) Commission authorization.--By a vote of not less than 
     2 members of the Commission, the Commission shall adopt the 
     rate of fees authorized by this section. Those fees shall be 
     payable to the Commission on a quarterly basis.
       ``(A) In general.--The aggregate amount of fees assessed 
     under this section shall be reasonably related to the costs 
     of services provided by the Commission to Indian tribes under 
     this Act (including the cost of issuing regulations necessary 
     to carry out this Act). In assessing and collecting fees 
     under this section, the Commission shall take into account 
     the duties of, and services provided by, the Commission under 
     this Act.
       ``(B) Factors for consideration.--In making a determination 
     of the amount of fees to be assessed for any class II or 
     class III gaming activity, the Commission shall provide for a 
     reduction in the amount of fees that otherwise would be 
     collected on the basis of the following factors:
       ``(i) The extent of regulation of the gaming activity by a 
     State or Indian tribe (or both).
       ``(ii) The issuance of a certificate of self-regulation (if 
     any) for that gaming activity.
       ``(C) Consultation.--In establishing a schedule of fees 
     under this subsection, the Commission shall consult with 
     Indian tribes.'';
       (ii) by redesignating paragraphs (4) through (6) as 
     paragraphs (5) through (7), respectively; and
       (iii) by inserting after paragraph (3) the following:
       ``(4) Trust fund.--
       ``(A) Establishment.--There is established in the Treasury 
     of the United States a fund to be known as the Indian Gaming 
     Trust Fund (referred to in this paragraph as the `Trust 
     Fund'), consisting of--
       ``(i) such amounts as are--

       ``(I) transferred to the Trust Fund under subparagraph 
     (B)(i); or
       ``(II) appropriated to the Trust Fund; and

       ``(ii) any interest earned on the investment of amounts in 
     the Trust Fund under subparagraph (C).
       ``(B) Transfer of amounts equivalent to fees.--
       ``(i) In general.--The Secretary of the Treasury shall 
     transfer to the Trust Fund an amount equal to the aggregate 
     amount of fees collected under this subsection.
       ``(ii) Transfers based on estimates.--The amounts required 
     to be transferred to the Trust Fund under clause (i) shall be 
     transferred not less frequently than quarterly from the 
     general fund of the Treasury to the Trust Fund on the basis 
     of estimates made by the Secretary of the Treasury. Proper 
     adjustment shall be made in amounts subsequently transferred 
     to the extent prior estimates were in excess of or less than 
     the amounts required to be transferred.
       ``(C) Investments.--
       ``(i) In general.--It shall be the duty of the Secretary of 
     the Treasury to invest such portion of the Trust Fund as is 
     not, in the judgment of the Secretary of the Treasury, 
     required to meet current withdrawals. The Secretary of the 
     Treasury shall invest the amounts deposited under 
     subparagraph (A) only in interest-bearing obligations of the 
     United States or in obligations guaranteed as to both 
     principal and interest by the United States.
       ``(ii) Sale of obligations.--Any obligation acquired by the 
     Trust Fund, except special obligations issued exclusively to 
     the Trust Fund, may be sold by the Secretary of the Treasury 
     at the market price, and such special obligations may be 
     redeemed at par plus accrued interest.
       ``(iii) Credits to trust fund.--The interest on, and 
     proceeds from, the sale or redemption of, any obligations 
     held in the Trust Fund shall be credited to and form a part 
     of the Trust Fund.
       ``(D) Expenditures from trust fund.--
       ``(i) In general.--Amounts in the Trust Fund shall be 
     available to the Commission, as provided in appropriations 
     Acts, for carrying out the duties of the Commission under 
     this Act.
       ``(ii) Withdrawal and transfer of funds.--Upon request of 
     the Commission, the Secretary of the Treasury shall withdraw 
     amounts from the Trust Fund and transfer such amounts to the 
     Commission for use in accordance with clause (i).
       ``(E) Limitation on transfers and withdrawals.--Except as 
     provided in subparagraph (D)(ii), the Secretary of the 
     Treasury may not transfer or withdraw any amount deposited 
     under subparagraph (A).''; and
       (B) in subsection (d), by striking ``section 11(d)(3)'' and 
     inserting ``section 12(d)(3)''.

     SEC. 3. CONFORMING AMENDMENTS.

       (a) Title 10.--Section 2323a(e)(1) of title 10, United 
     States Code, is amended by striking ``section 4(4) of the 
     Indian Gaming Regulatory Act (102 Stat. 2468; 25 U.S.C. 
     2703(4))'' and inserting ``section 4(10) of the Indian Gaming 
     Regulatory Act''.
       (b) Internal Revenue Code of 1986.--Section 
     168(j)(4)(A)(iv) of the Internal Revenue Code of 1986 is 
     amended by striking ``Indian Regulatory Act'' and inserting 
     ``Indian Gaming Regulatory Act''.
       (c) Title 28.--Title 28, United States Code, is amended--
       (1) in section 3701(2)--
       (A) by striking ``section 4(5) of the Indian Gaming 
     Regulatory Act (25 U.S.C. 2703(5))'' and inserting ``section 
     4(11) of the Indian Gaming Regulatory Act''; and
       (B) by striking ``section 4(4) of such Act (25 U.S.C. 
     2703(4))'' and inserting ``section 4(10) of such Act''; and
       (2) in section 3704(b), by striking ``section 4(4) of the 
     Indian Gaming Regulatory Act'' and inserting ``section 4(10) 
     of the Indian Gaming Regulatory Act''.
                                 ______
                                 
      By Mr. CAMPBELL (for himself and Mr. Inouye):
  S. 400. A bill to provide technical corrections to the Native 
American Housing Assistance and Self-Determination Act of 1996, to 
improve the delivery of housing assistance to Indian tribes in a manner 
that recognizes the right of tribal self-governance, and for other 
purposes; to the Committee on Indian Affairs.


     Native American Housing Assistance and Self-Determination Act 
                           Amendments of 1999

 Mr. CAMPBELL. Mr. President, in 1996 Congress enacted historic 
legislation involving the financing, construction, and maintenance of 
housing for American Indians and Alaska Natives. With this initiative, 
called the Native American Housing Assistance and Self-Determination 
Act (NAHASDA), decisions regarding Indian housing are no longer solely 
a matter for the Department of Housing and Urban Development (HUD).
  Consistent with principles of local autonomy and Indian self-
determination, NAHASDA enables tribes--for the first time--to develop 
and implement housing plans that meet their needs, and in a way that is 
more efficient. The Act requires that funds for Indian housing be 
provided to Indian tribes in housing block grants with monitoring and 
oversight provided by HUD.
  I am hopeful that the successes achieved by tribes who participate in 
the Indian Self-Determination and Education Act and the Tribal Self-
Governance Act can now be duplicated in the housing arena with the 
implementation of NAHASDA. With housing as the anchor for community 
development, we can turn our attention to other initiatives such as 
banking, business development, and infrastructure construction.
  NAHASDA became effective October 1, 1997. In implementing the Act 
both HUD and the tribes have told us that there are provisions in the 
statute in need of clarification. I would like to cite two examples.
  Prior to the passage of NAHASDA, Indian tribes receiving HOME block 
grant funds could use those funds to leverage low income housing tax 
credits. Unlike HOME funds, block grants to tribes under the new 
NAHASDA are considered ``federal funds'' and cannot be used to access 
these tax credits.
  Therefore, tribes cannot use designated new block grant funds to 
access a program which they formerly could is an unintended consequence 
affecting housing development in Indian country. This bill would 
restore tribal eligibility for the low income housing tax credit by 
placing NAHASDA funds on the same footing as HOME funds, with no change 
to current low income housing tax credit programs.
  In addition, there are conflicting provisions in the statute with 
regard to the authority of the HUD Secretary to enforce the act against 
non-compliant entities. This bill clarifies that authority and provides 
clear guidance for the Secretary in such instances.

[[Page 2172]]

  Tribal leaders, Indian housing experts, and federal officials 
testified at a hearing of the Senate Committee on Indian Affairs in 
March 1997 about funding and other anticipated problems, including 
achieving the appropriate level of oversight and monitoring. The focus 
of the hearing was constructive and encouraged all parties to work for 
a better managed and more efficient Indian housing system.
  The bill I am introducing today, joined by Senator Inouye, the Native 
American Housing Assistance and Self-Determination Act Amendments of 
1999, provides the required clarification and changes that will help 
the tribes and HUD in achieving a smoother transition from the old 
housing regime to the new framework of NAHASDA.
  In the last session, I originally introduced a bill identical to this 
legislation, S.1280, and I am hopeful that these amendments can be 
enacted this year.
  As Chairman of the Committee on Indian Affairs I am committed to 
ensuring that funds for Indian housing are used efficiently, properly 
and within the bounds provided by law. I also want to ensure that, 
consistent with the federal obligation to Indian tribes, tribal members 
have safe, decent, and affordable housing. That is the goal of NAHASDA 
and that is the policy of this Congress.
  I am confident that the implementation of NAHASDA has given tribes 
the ability to better design and implement their own housing plans and 
in the process provide better housing opportunities to their tribal 
members. In making the transition from dominating the housing realm to 
monitoring the activities of the tribes, HUD needs guidance from the 
Committee as to its proper role and responsibilities under the Act.
  The Act, and the amendments I am proposing today, will go a long way 
in making sure that the management problems that were associated with 
the old, HUD-dominated housing system will be eliminated, paving the 
way for more and better housing for American Indians and Alaska 
Natives.
  I urge my colleagues to join me in enacting these reasonable and 
necessary amendments.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follow:

                                 S. 400

       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 ``Native 
     American Housing Assistance and Self-Determination Act 
     Amendments of 1999''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Restriction on waiver authority.
Sec. 3. Organizational capacity; assistance to families that are not 
              low-income.
Sec. 4. Elimination of waiver authority for small tribes.
Sec. 5. Expanded authority to review Indian housing plans.
Sec. 6. Oversight.
Sec. 7. Allocation formula.
Sec. 8. Hearing requirement.
Sec. 9. Performance agreement time limit.
Sec. 10. Block grants and guarantees not Federal subsidies for low-
              income housing credit.
Sec. 11. Technical and conforming amendments.

     SEC 2. RESTRICTION ON WAIVER AUTHORITY.

       Section 101(b)(2) of the Native American Housing Assistance 
     and Self-Determination Act of 1996 (25 U.S.C. 4111(b)(2)) is 
     amended by striking ``if the Secretary'' and all that follows 
     before the period at the end and inserting the following: 
     ``for a period of not more than 90 days, if the Secretary 
     determines that an Indian tribe has not complied with, or is 
     unable to comply with, those requirements due to extreme 
     circumstances beyond the control of the Indian tribe''.

     SEC. 3. ORGANIZATIONAL CAPACITY; ASSISTANCE TO FAMILIES THAT 
                   ARE NOT LOW-INCOME.

       (a) Organizational Capacity.--Section 102(c)(4) of the 
     Native American Housing Assistance and Self-Determination Act 
     (25 U.S.C. 4112(c)(4)) is amended--
       (1) by redesignating subparagraphs (A) through (K) as 
     subparagraphs (B) through (L), respectively; and
       (2) by inserting before subparagraph (B), as redesignated 
     by paragraph (1) of this subsection, the following:
       ``(A) a description of the entity that is responsible for 
     carrying out the activities under the plan, including a 
     description of--
       ``(i) the relevant personnel of the entity; and
       ``(ii) the organizational capacity of the entity, 
     including--
       ``(I) the management structure of the entity; and
       ``(II) the financial control mechanisms of the entity;''.
       (b) Assistance to Families That Are Not Low-Income.--
     Section 102(c) of the Native American Housing Assistance and 
     Self-Determination Act of 1996 (25 U.S.C. 4112) is amended by 
     adding at the end the following:
       ``(6) Certain families.--With respect to assistance 
     provided by a recipient to Indian families that are not low-
     income families under section 201(b)(2), evidence that there 
     is a need for housing for each such family during that period 
     that cannot reasonably be met without such assistance.''.

     SEC. 4. ELIMINATION OF WAIVER AUTHORITY FOR SMALL TRIBES.

       Section 102 of the Native American Housing Assistance and 
     Self-Determination Act of 1996 (25 U.S.C. 4112) is amended--
       (1) by striking subsection (f); and
       (2) by redesignating subsection (g) as subsection (f).

     SEC. 5. EXPANDED AUTHORITY TO REVIEW INDIAN HOUSING PLANS.

       Section 103(a)(1) of the Native American Housing Assistance 
     and Self-Determination Act of 1996 (25 U.S.C. 4113(a)(1)) is 
     amended--
       (1) in the first sentence, by striking ``limited''; and
       (2) by striking the second sentence.

     SEC. 6. OVERSIGHT.

       (a) Repayment.--Section 209 of the Native American Housing 
     Assistance and Self-Determination Act of 1996 (25 U.S.C. 
     4139) is amended to read as follows:

     ``SEC. 209. NONCOMPLIANCE WITH AFFORDABLE HOUSING 
                   REQUIREMENT.

       ``If a recipient uses grant amounts to provide affordable 
     housing under this title, and at any time during the useful 
     life of the housing the recipient does not comply with the 
     requirement under section 205(a)(2), the Secretary shall take 
     appropriate action under section 401(a).''.
       (b) Audits and Reviews.--Section 405 of the Native American 
     Housing Assistance and Self-Determination Act of 1996 (25 
     U.S.C. 1465) is amended to read as follows:

     ``SEC. 405. REVIEW AND AUDIT BY SECRETARY.

       ``(a) Requirements Under Chapter 75 of Title 31, United 
     States Code.--
       ``(1) In general.--An entity designated by an Indian tribe 
     as a housing entity shall be treated, for purposes of chapter 
     75 of title 31, United States Code, as a non-Federal entity 
     that is subject to the audit requirements that apply to non-
     Federal entities under that chapter.
       ``(2) Payment of costs.--
       ``(A) In general.--The Secretary may arrange for, and pay 
     the cost of, any audit required under paragraph (1).
       ``(B) Withholding of amounts.--If the Secretary pays for 
     the cost of an audit under subparagraph (A), the Secretary 
     may withhold, from the assistance otherwise payable under 
     this Act, an amount sufficient to pay for the reasonable 
     costs of conducting an audit that meets the applicable 
     requirements of chapter 75 of title 31, United States Code, 
     including, if appropriate, the reasonable costs of accounting 
     services necessary to ensure that the books and records of 
     the entity referred to in paragraph (1) are in such condition 
     as is necessary to carry out the audit.
       ``(b) Additional Reviews and Audits.--
       ``(1) In general.--In addition to any audit under 
     subsection (a)(1), to the extent the Secretary determines 
     such action to be appropriate, the Secretary may conduct an 
     audit of a recipient in order to--
       ``(A) determine whether the recipient--
       ``(i) has carried out--

       ``(I) eligible activities in a timely manner; and
       ``(II) eligible activities and certification in accordance 
     with this Act and other applicable law;

       ``(ii) has a continuing capacity to carry out eligible 
     activities in a timely manner; and
       ``(iii) is in compliance with the Indian housing plan of 
     the recipient; and
       ``(B) verify the accuracy of information contained in any 
     performance report submitted by the recipient under section 
     404.
       ``(2) Onsite visits.--To the extent practicable, the 
     reviews and audits conducted under this subsection shall 
     include onsite visits by the appropriate official of the 
     Department of Housing and Human Development.
       ``(c) Review of Reports.--
       ``(1) In general.--The Secretary shall provide each 
     recipient that is the subject of a report made by the 
     Secretary under this section notice that the recipient may 
     review and comment on the report during a period of not less 
     than 30 days after the date on which notice is issued under 
     this paragraph.
       ``(2) Public availability.--After taking into consideration 
     any comments of the recipient under paragraph (1), the 
     Secretary--
       ``(A) may revise the report; and
       ``(B) not later than 30 days after the date on which those 
     comments are received, shall make the comments and the report 
     (with

[[Page 2173]]

     any revisions made under subparagraph (A)) readily available 
     to the public.
       ``(d) Effect of Reviews.--Subject to section 401(a), after 
     reviewing the reports and audits relating to a recipient that 
     are submitted to the Secretary under this section, the 
     Secretary may adjust the amount of a grant made to a 
     recipient under this Act in accordance with the findings of 
     the Secretary with respect to those reports and audits.''.

     SEC. 7. ALLOCATION FORMULA.

       Section 302(d)(1) of the Native American Housing Assistance 
     and Self-Determination Act of 1996 (25 U.S.C. 4152(d)(1)) is 
     amended--
       (1) by striking ``The formula,'' and inserting the 
     following:
       ``(A) In general.--Except with respect to an Indian tribe 
     described in subparagraph (B), the formula''; and
       (2) by adding at the end the following:
       ``(B) Certain indian tribes.--With respect to fiscal year 
     2000 and each fiscal year thereafter, with respect to any 
     Indian tribe having an Indian housing authority that owns or 
     operates fewer than 250 public housing units, the formula 
     under subparagraph (A) shall provide that the amount provided 
     for a fiscal year in which the total amount made available 
     for assistance under this Act is equal to or greater than the 
     amount made available for fiscal year 1996 for assistance for 
     the operation and modernization of the public housing 
     referred to in subparagraph (A), the amount provided to that 
     Indian tribe as modernization assistance shall be equal to 
     the average annual amount of funds provided to the Indian 
     tribe (other than funds provided as emergency assistance) 
     under the assistance program under section 14 of the United 
     States Housing Act of 1937 (42 U.S.C. 1437l) for the period 
     beginning with fiscal year 1992 and ending with fiscal year 
     1997.''.

     SEC. 8. HEARING REQUIREMENT.

       Section 401(a) of the Native American Housing Assistance 
     and Self-Determination Act of 1996 (25 U.S.C. 4161(a)) is 
     amended--
       (1) by redesignating paragraphs (1) through (4) as 
     subparagraphs (A) through (D), respectively, and indenting 
     each such subparagraph 2 ems to the right;
       (2) by striking ``Except as provided'' and inserting the 
     following:
       ``(1) In general.--Except as provided'';
       (3) by striking ``If the Secretary takes an action under 
     paragraph (1), (2), or (3)'' and inserting the following:
       ``(2) Continuance of actions.--If the Secretary takes an 
     action under subparagraph (A), (B), or (C) of paragraph 
     (1)''; and
       (4) by adding at the end the following:
       ``(3) Exception for certain actions.--
       ``(A) In general.--Notwithstanding any other provision of 
     this subsection, if the Secretary makes a determination that 
     the failure of a recipient of assistance under this Act to 
     comply substantially with any material provision (as that 
     term is defined by the Secretary) of this Act is resulting, 
     and would continue to result, in a continuing expenditure of 
     Federal funds in a manner that is not authorized by law, the 
     Secretary may take an action described in paragraph (1)(C) 
     before conducting a hearing.
       ``(B) Procedural requirement.--If the Secretary takes an 
     action described in subparagraph (A), the Secretary shall--
       ``(i) provide notice to the recipient at the time that the 
     Secretary takes that action; and
       ``(ii) conduct a hearing not later than 60 days after the 
     date on which the Secretary provides notice under clause (i).
       ``(C) Determination.--Upon completion of a hearing under 
     this paragraph, the Secretary shall make a determination 
     regarding whether to continue taking the action that is the 
     subject of the hearing, or take another action under this 
     subsection.''.

     SEC. 9. PERFORMANCE AGREEMENT TIME LIMIT.

       Section 401(b) of the Native American Housing Assistance 
     and Self-Determination Act of 1996 (25 U.S.C. 4161(b)) is 
     amended--
       (1) by striking ``If the Secretary'' and inserting the 
     following:
       ``(1) In general.--If the Secretary'';
       (2) by striking ``(1) is not'' and inserting the following:
       ``(A) is not'';
       (3) by striking ``(2) is a result'' and inserting the 
     following:
       ``(B) is a result:
       (4) in the flush material following paragraph (1)(B), as 
     redesignated by paragraph (3) of this section--
       (A) by adjusting the margin 2 ems to the right; and
       (B) by inserting before the period at the end the 
     following: ``, if the recipient enters into a performance 
     agreement with the Secretary that specifies the compliance 
     objectives that the recipient will be required to achieve by 
     the termination date of the performance agreement''; and
       (5) by adding at the end the following:
       ``(2) Performance agreement.--The period of a performance 
     agreement described in paragraph (1) shall be for 1 year.
       ``(3) Review.--Upon the termination of a performance 
     agreement entered into under paragraph (1), the Secretary 
     shall review the performance of the recipient that is a party 
     to the agreement.
       ``(4) Effect of review.--If, on the basis of a review under 
     paragraph (3), the Secretary determines that the recipient--
       ``(A) has made a good faith effort to meet the compliance 
     objectives specified in the agreement, the Secretary may 
     enter into an additional performance agreement for the period 
     specified in paragraph (2); and
       ``(B) has failed to make a good faith effort to meet 
     applicable compliance objectives, the Secretary shall 
     determine the recipient to have failed to comply 
     substantially with this Act, and the recipient shall be 
     subject to an action under subsection (a).''.

     SEC. 10. BLOCK GRANTS AND GUARANTEES NOT FEDERAL SUBSIDIES 
                   FOR LOW-INCOME HOUSING CREDIT.

       (a) In General.--Subparagraph (E) of section 42(i)(2) of 
     the Internal Revenue Code of 1986 (relating to determination 
     of whether building is federally subsidized) is amended to 
     read as follows:
       ``(E) Buildings receiving home assistance or native 
     american housing assistance.--
       ``(i) In general.--

       ``(I) Inapplicability.--Assistance provided under the HOME 
     Investment Partnerships Act or the Native American Housing 
     Assistance and Self-Determination Act of 1996 as in effect on 
     the day before the date of enactment of the Native American 
     Housing Assistance and Self-Determination Act Amendments of 
     1997 with respect to any building shall not be taken into 
     account under subparagraph (D) if 40 percent or more of the 
     residential units in the building are occupied by individuals 
     whose income is 50 percent or less of the area median gross 
     income.
       ``(II) Applicability of other law.--Subsection (d)(5)(C) 
     does not apply to any building to which subclause (I) 
     applies.

       ``(ii) Special rule for certain high-cost housing areas.--
     In the case of a building located in a city described in 
     section 142(d)(6), clause (i) shall be applied by 
     substituting `25 percent' for `40 percent'.''.
       (b) Applicability.--The amendment made by this section 
     shall apply to determinations made under section 42(i)(2) of 
     the Internal Revenue Code after the date of enactment of this 
     Act.

     SEC. 11. TECHNICAL AND CONFORMING AMENDMENTS.

       (a) Table of Contents.--Section 1(b) of the Native American 
     Housing Assistance and Self-Determination Act of 1996 (25 
     U.S.C. 4101 note) is amended in the table of contents--
       (1) by striking the item relating to section 206; and
       (2) by striking the item relating to section 209 and 
     inserting the following:

``209. Noncompliance with affordable housing requirement.''.
       (b) Authorization of Appropriations.--Section 108 of the 
     Native American Housing Assistance and Self-Determination Act 
     of 1996 (25 U.S.C. 4117) is amended to read as follows:

     ``SEC. 108. AUTHORIZATION OF APPROPRIATIONS.

       ``There are authorized to be appropriated for each of 
     fiscal years 2000 through 2003--
       ``(1) to provide assistance under this title for 
     emergencies and disasters, as determined by the Secretary, 
     $10,000,000; and
       ``(2) such sums as may be necessary to otherwise provide 
     grants under this title.''.
       (c) Certification of Compliance With Subsidy Layering 
     Requirements.--Section 206 of the Native American Housing 
     Assistance and Self-Determination Act of 1996 (25 U.S.C. 
     4136) is repealed.
       (d) Terminations.--Section 502(a) of the Native American 
     Housing Assistance and Self-Determination Act of 1996 (25 
     U.S.C. 4181(a)) is amended by adding at the end the 
     following: ``Any housing that is the subject of a contract 
     for tenant-based assistance between the Secretary and an 
     Indian housing authority that is terminated under this 
     section shall, for the following fiscal year and each fiscal 
     year thereafter be considered to be a dwelling unit under 
     section 302(b)(1).''.
                                 ______
                                 
      By Mr. CAMPBELL (for himself and Mr. Inouye):
  S. 401. A bill to provide for business development and trade 
promotion for native Americans, and for other purposes; to the 
Committee on Indian Affairs.


 The Native American Business Development Trade Promotion and Tourism 
                                  Act

 Mr. CAMPBELL. Mr. President, I am introducing a bill to assist 
Indians and tribal businesses to foster entrepreneurship and healthy 
reservation economies. I am pleased to be joined by Senator Inouye. As 
we stand ready to enter the next century, Indian tribes and their 
members continue to face many challenges--poor health, substandard 
housing and educational facilities, substance abuse, and a host of 
other social and economic problems.
  A top priority for the Committee on Indian Affairs and me in the next 
two years will be to help tribal governments build stronger and 
healthier economies to provide jobs and hope to their members.
  The results of centuries of federal domination of Indian affairs and 
Indian economies is predictable: stagnant reservation economies and the 
absence of a private sector to create the kind of job opportunities and 
business-creating

[[Page 2174]]

activities that Indians so desperately need.
  Despite the popular myth that ``all Indians are rich'' from gambling, 
the realities of life for the great majority of Native Americans are 
harsh and have shown little sign of improvement in recent years. In the 
Great Depression of the 1930s, the national unemployment rate was 25 
percent, and it was a national crisis.
  In 1999, Indian country has a collective unemployment rate running at 
50% and there are few comments made, little urgency heard, and very 
little being done to address the problem. We sympathize, as we should, 
with Third World countries torn by strife and lack of economic 
development. We provide loan guarantees, technical assistance, and aid 
and trade.
  For Indians, the response is usually that ``they should just get a 
job''. The fact is there are few if any job opportunities on most 
Indian lands in this nation.
  The requirement that people on federal assistance get and keep a job 
is the long-term goal of the 1996 welfare reform laws, and frankly, the 
tribes are behind the curve in preparing for the full implementation of 
the law. The goal of the legislation I introduce today and other bills 
this session will be on helping attract capital and value-added 
activities to Indian lands in such fields as manufacturing, energy, 
agriculture, livestock and fisheries, high technology and electronic 
commerce, arts and crafts and a host of service industries.
  This bill aims to make best use of existing programs to provide the 
necessary tools to tribes to attract and retain capital and employment. 
The model I am encouraging with this bill has proven highly successful 
in the self governance arena and in the Indian job training program, 
known as the ``477 program''.
  By providing for an efficient coordination of existing business 
development programs in the Commerce Department and maximizing 
resources available to tribes, this bill is a first step toward better 
cooperation between and within agencies across the federal government.
  Building healthy Indian economies will require efforts by the tribal 
as well as the federal government. The tribes have a responsibility as 
well. A fundamental principle of Indian self determination requires 
that the tribes play a greater role in their own affairs. In many areas 
such as self governance, the tribes are increasingly administering 
federal services, programs, and activities in lieu of the federal 
government. This has led to more capable and accountable tribal 
governments.
  A corollary of Indian political self government is a reduction in the 
dependence on the federal bureaucracy and federal funds, through 
assuming a greater role in the tribes funding their own government 
activities. A number of tribes are achieving some success in reaching 
this stage, and it should be our policy to assist more tribes in 
achieving this transition from federal to tribal-domination of tribal 
affairs.
  Under this bill, the Native American Business Development Office 
(NABDO) will coordinate existing programs within the Department of 
Commerce, including those geared to encouraging American businesses in 
the fields of international trade and tourism.
  I want to be clear: this bill does not create any new programs but 
will achieve more efficiency in those that already exist, and within 
existing budget authority. Because the central aim of the legislation 
is to encourage non-gaming development, the bill also prohibits 
assistance under the act from being used for gaming on Indian lands.
  I urge my colleagues to join me in providing the tools necessary to 
build strong and diversified Indian economies so that tribal members 
have the same job opportunities enjoyed by other Americans.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 401

       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 ``Native American Business 
     Development, Trade Promotion, and Tourism Act of 1999''.

     SEC. 2. FINDINGS; PURPOSES.

       (a) Findings.--Congress finds that--
       (1) clause 3 of section 8 of article I of the United States 
     Constitution recognizes the special relationship between the 
     United States and Indian tribes;
       (2) beginning in 1970, with the inauguration by the Nixon 
     Administration, of the Indian self-determination era of the 
     Federal Government, each President has confirmed the special 
     government-to-government relationship between Indian tribes 
     and the United States;
       (3) in 1994, President Clinton issued an Executive 
     memorandum to the heads of departments and agencies that 
     obligated all Federal departments and agencies, particularly 
     those that have an impact on economic development, to 
     evaluate the potential impacts of their actions on Indian 
     tribes;
       (4) consistent with the principles of inherent tribal 
     sovereignty and the special relationship between Indian 
     tribes and the United States, Indian tribes retain the right 
     to enter into contracts and agreements to trade freely, and 
     seek enforcement of treaty and trade rights;
       (5) Congress has carried out the responsibility of the 
     United States for the protection and preservation of Indian 
     tribes and the resources of Indian tribes through the 
     endorsement of treaties, and the enactment of other laws, 
     including laws that provide for the exercise of 
     administrative authorities;
       (6) the United States has an obligation to guard and 
     preserve the sovereignty of Indian tribes in order to foster 
     strong tribal governments, Indian self-determination, and 
     economic self-sufficiency among Indian tribes;
       (7) the capacity of Indian tribes to build strong tribal 
     governments and vigorous economies is hindered by the 
     inability of Indian tribes to engage communities that 
     surround Indian lands and outside investors in economic 
     activities on Indian lands;
       (8) despite the availability of abundant natural resources 
     on Indian lands and a rich cultural legacy that accords great 
     value to self-determination, self-reliance, and independence, 
     American Indians and Alaska Natives suffer higher rates of 
     unemployment, poverty, poor health, substandard housing, and 
     associated social ills than those of any other group in the 
     United States;
       (9) the United States has an obligation to assist Indian 
     tribes with the creation of appropriate economic and 
     political conditions with respect to Indian lands to--
       (A) encourage investment from outside sources that do not 
     originate with the tribes; and
       (B) facilitate economic ventures with outside entities that 
     are not tribal entities;
       (10) the economic success and material well-being of 
     American Indian and Alaska Native communities depends on the 
     combined efforts of the Federal Government, tribal 
     governments, the private sector, and individuals;
       (11) the lack of employment and entrepreneurial 
     opportunities in the communities referred to in paragraph (8) 
     has resulted in a multigenerational dependence on Federal 
     assistance that is--
       (A) insufficient to address the magnitude of needs; and
       (B) unreliable in availability; and
       (12) the twin goals of economic self-sufficiency and 
     political self-determination for American Indians and Alaska 
     Natives can best be served by making available to address the 
     challenges faced by those groups--
       (A) the resources of the private market;
       (B) adequate capital; and
       (C) technical expertise.
       (b) Purposes.--The purposes of this Act are as follows:
       (1) To revitalize economically and physically distressed 
     Indian reservation economies by--
       (A) encouraging the formation of new businesses by eligible 
     entities, the expansion of existing businesses; and
       (B) facilitating the movement of goods to and from Indian 
     reservations and the provision of services by Indians.
       (2) To promote private investment in the economies of 
     Indian tribes and to encourage the sustainable development of 
     resources of Indian tribes and tribal- and Indian-owned 
     businesses.
       (3) To promote the long-range sustained growth of the 
     economies of Indian tribes.
       (4) To raise incomes of Indians in order to reduce poverty 
     levels and provide the means for achieving a higher standard 
     of living on Indian reservations.
       (5) To encourage intertribal, regional, and international 
     trade and business development in order to assist in 
     increasing productivity and the standard of living of members 
     of Indian tribes and improving the economic self-sufficiency 
     of the governing bodies of Indian tribes.
       (6) To promote economic self-sufficiency and political 
     self-determination for Indian tribes and members of Indian 
     tribes.

     SEC. 3. DEFINITIONS.

       In this Act:
       (1) Board.--The term ``Board'' has the meaning given that 
     term in the first section

[[Page 2175]]

     of the Act entitled ``To provide for the establishment, 
     operation, and maintenance of foreign-trade zones in ports of 
     entry in the United States, to expedite and encourage foreign 
     commerce, and for other purposes'', approved June 18, 1934 
     (19 U.S.C. 81a).
       (2) Director.--The term ``Director'' means Director of 
     Native American Business Development appointed under section 
     4(a).
       (3) Eligible entity.--The term ``eligible entity'' means an 
     Indian tribe, tribal organization, Indian arts and crafts 
     organization, tribal enterprise, tribal marketing 
     cooperative, or Indian-owned business.
       (4) Federal agency.--The term ``Federal agency'' means an 
     agency, as that term is defined in section 551(1) of title 5, 
     United States Code.
       (5) Foundation.--The term ``Foundation'' means the Rural 
     Development Foundation.
       (6) Indian.--The term ``Indian'' has the meaning given that 
     term in section 4(d) of the Indian Self-Determination and 
     Education Assistance Act (25 U.S.C. 450b(d)).
       (7) Indian arts and crafts organization.--The term ``Indian 
     arts and crafts organization'' has the meaning given that 
     term under section 2 of the Act of August 27, 1935 (49 Stat. 
     891, chapter 748; 25 U.S.C. 305a).
       (8) Indian goods and services.--The term ``Indian goods and 
     services'' means--
       (A) Indian goods, within the meaning of section 2 of the 
     Act of August 27, 1935 (commonly known as the ``Indian Arts 
     and Crafts Act'') (49 Stat. 891, chapter 748; 25 U.S.C. 
     305a);
       (B) goods produced or originating within an eligible 
     entity; and
       (C) services provided by eligible entities.
       (9) Indian lands.--The term ``Indian lands'' has the 
     meaning given that term in section 4(4) of the Indian Gaming 
     Regulatory Act (25 U.S.C. 2703(4)).
       (10) Indian-owned business.--The term ``Indian-owned 
     business'' means an entity organized for the conduct of trade 
     or commerce with respect to which at least 50 percent of the 
     property interests of the entity are owned by Indians or 
     Indian tribes (or a combination thereof).
       (11) Indian tribe.--The term ``Indian tribe'' has the 
     meaning given that term in section 4(e) of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 
     450b(e)).
       (12) Office.--The term ``Office'' means the Office of 
     Native American Business Development established under 
     section 4(a).
       (13) Secretary.--The term ``Secretary'' means the Secretary 
     of Commerce.
       (14) Tribal enterprise.--The term ``tribal enterprise'' 
     means a commercial activity or business managed or controlled 
     by an Indian tribe.
       (15) Tribal marketing cooperative.--The term ``tribal 
     marketing cooperative'' shall have the meaning given that 
     term by the Secretary, in consultation with the Secretary of 
     the Interior.
       (16) Tribal organization.--The term ``tribal organization'' 
     has the meaning given that term in section 4(l) of the Indian 
     Self-Determination and Education Assistance Act (25 U.S.C. 
     450b(l)).

     SEC. 4. OFFICE OF NATIVE AMERICAN BUSINESS DEVELOPMENT.

       (a) In General.--
       (1) Establishment.--There is established within the 
     Department of Commerce an office known as the Office of 
     Native American Business Development.
       (2) Director.--The Office shall be headed by a Director, 
     appointed by the Secretary, whose title shall be the Director 
     of Native American Business Development. The Director shall 
     be compensated at a rate not to exceed level V of the 
     Executive Schedule under section 5316 of title 5, United 
     States Code.
       (b) Duties of the Secretary.--
       (1) In general.--The Secretary, acting through the 
     Director, shall ensure the coordination of Federal programs 
     that provide assistance, including financial and technical 
     assistance, to eligible entities for increased business, the 
     expansion of trade by eligible entities, and economic 
     development on Indian lands.
       (2) Activities.--In carrying out the duties described in 
     paragraph (1), the Secretary, acting through the Director, 
     shall ensure the coordination of, or, as appropriate, carry 
     out--
       (A) Federal programs designed to provide legal, accounting, 
     or financial assistance to eligible entities;
       (B) market surveys;
       (C) the development of promotional materials;
       (D) the financing of business development seminars;
       (E) the facilitation of marketing;
       (F) the participation of appropriate Federal agencies or 
     eligible entities in trade fairs;
       (G) any activity that is not described in subparagraphs (A) 
     through (F) that is related to the development of appropriate 
     markets; and
       (H) any other activity that the Secretary, in consultation 
     with the Director, determines to be appropriate to carry out 
     this section.
       (3) Assistance.--In conjunction with the activities 
     described in paragraph (2), the Secretary, acting through the 
     Director, shall provide--
       (A) financial assistance, technical assistance, and 
     administrative services to eligible entities to assist those 
     entities with--
       (i) identifying and taking advantage of business 
     development opportunities; and
       (ii) compliance with appropriate laws and regulatory 
     practices; and
       (B) such other assistance as the Secretary, in consultation 
     with the Director, determines to be necessary for the 
     development of business opportunities for eligible entities 
     to enhance the economies of Indian tribes.
       (4) Priorities.--In carrying out the duties and activities 
     described in paragraphs (2) and (3), the Secretary, acting 
     through the Director, shall give priority to activities 
     that--
       (A) provide the greatest degree of economic benefits to 
     Indians; and
       (B) foster long-term stable economies of Indian tribes.
       (5) Prohibition.--The Secretary may not provide under this 
     section assistance for any activity related to the operation 
     of a gaming activity on Indian lands pursuant to the Indian 
     Gaming Regulatory Act (25 U.S.C. 2710 et seq.).

     SEC. 5. NATIVE AMERICAN TRADE AND EXPORT PROMOTION.

       (a) In General.--The Secretary, acting through the 
     Director, shall carry out a Native American export and trade 
     promotion program (referred to in this section as the 
     ``program'').
       (b) Coordination of Federal Programs and Services.--In 
     carrying out the program, the Secretary, acting through the 
     Director, and in cooperation with the heads of appropriate 
     Federal agencies, shall ensure the coordination of Federal 
     programs and services designed to--
       (1) develop the economies of Indian tribes; and
       (2) stimulate the demand for Indian goods and services that 
     are available to eligible entities.
       (c) Activities.--In carrying out the duties described in 
     subsection (b), the Secretary, acting through the Director, 
     shall ensure the coordination of, or, as appropriate, carry 
     out--
       (1) Federal programs designed to provide technical or 
     financial assistance to eligible entities;
       (2) the development of promotional materials;
       (3) the financing of appropriate trade missions;
       (4) the marketing of Indian goods and services;
       (5) the participation of appropriate Federal agencies or 
     eligible entities in international trade fairs; and
       (6) any other activity related to the development of 
     markets for Indian goods and services.
       (d) Technical Assistance.--In conjunction with the 
     activities described in subsection (c), the Secretary, acting 
     through the Director, shall provide technical assistance and 
     administrative services to eligible entities to assist those 
     entities with--
       (1) the identification of appropriate markets for Indian 
     goods and services;
       (2) entering the markets referred to in paragraph (1);
       (3) compliance with foreign or domestic laws and practices 
     with respect to financial institutions with respect to the 
     export and import of Indian goods and services; and
       (4) entering into financial arrangements to provide for the 
     export and import of Indian goods and services.
       (e) Priorities.--In carrying out the duties and activities 
     described in subsections (b) and (c), the Secretary, acting 
     through the Director, shall give priority to activities 
     that--
       (1) provide the greatest degree of economic benefits to 
     Indians; and
       (2) foster long-term stable international markets for 
     Indian goods and services.

     SEC. 6. INTERTRIBAL TOURISM DEMONSTRATION PROJECTS.

       (a) In General.--
       (1) Demonstration projects.--The Secretary, acting through 
     the Director, shall conduct a Native American tourism program 
     to facilitate the development and conduct of tourism 
     demonstration projects by Indian tribes, on a tribal, 
     intertribal, or regional basis.
       (2) Projects.--
       (A) In general.--Under the program established under this 
     section, in order to assist in the development and promotion 
     of tourism on and in the vicinity of Indian lands, the 
     Secretary, acting through the Director, shall, in 
     coordination with the Foundation, assist eligible entities in 
     the planning, development, and implementation of tourism 
     development demonstration projects that meet the criteria 
     described in subparagraph (B).
       (B) Projects described.--In selecting tourism development 
     demonstration projects under this section, the Secretary, 
     acting through the Director, shall select projects that have 
     the potential to increase travel and tourism revenues by 
     attracting visitors to Indian lands and in the vicinity of 
     Indian lands, including projects that provide for--
       (i) the development and distribution of educational and 
     promotional materials pertaining to attractions located on 
     and near Indian lands;

[[Page 2176]]

       (ii) the development of educational resources to assist in 
     private and public tourism development on and in the vicinity 
     of Indian lands; and
       (iii) the coordination of tourism-related joint ventures 
     and cooperative efforts between eligible entities and 
     appropriate State and local governments that have 
     jurisdiction over areas in the vicinity of Indian lands.
       (3) Grants.--To carry out the program under this section, 
     the Secretary, acting through the Director, may award grants 
     or enter into other appropriate arrangements with Indian 
     tribes, tribal organizations, intertribal consortia, or other 
     tribal entities that the Secretary, in consultation with the 
     Director, determines to be appropriate.
       (4) Locations.--In providing for tourism development 
     demonstration projects under the program under this section, 
     the Secretary, acting through the Director, shall provide for 
     a demonstration project to be conducted--
       (A) for Indians of the Four Corners area located in the 
     area adjacent to the border between Arizona, Utah, Colorado, 
     and New Mexico;
       (B) for Indians of the northwestern area that is commonly 
     known as the Great Northwest (as determined by the 
     Secretary);
       (C) for the Oklahoma Indians in Oklahoma; and
       (D) for the Indians of the Great Plains area (as determined 
     by the Secretary).
       (b) Studies.--The Secretary, acting through the Director, 
     shall provide financial assistance, technical assistance, and 
     administrative services to participants that the Secretary, 
     acting through the Director, selects to carry out a tourism 
     development project under this section, with respect to--
       (1) feasibility studies conducted as part of that project;
       (2) market analyses;
       (3) participation in tourism and trade missions; and
       (4) any other activity that the Secretary, in consultation 
     with the Director, determines to be appropriate to carry out 
     this section.
       (c) Infrastructure Development.--The demonstration projects 
     conducted under this section shall include provisions to 
     facilitate the development and financing of infrastructure, 
     including the development of Indian reservation roads in a 
     manner consistent with title 23, United States Code.

     SEC. 7. REPORT TO CONGRESS.

       (a) In General.--Not later than 1 year after the date of 
     enactment of this Act, and annually thereafter, the 
     Secretary, in consultation with the Director, shall prepare 
     and submit to the Committee on Indian Affairs of the Senate 
     and the Committee on Resources of the House of 
     Representatives a report on the operation of the Office.
       (b) Contents of Report.--Each report prepared under 
     subsection (a) shall include--
       (1) for the period covered by the report, a summary of the 
     activities conducted by the Secretary, acting through the 
     Director, in carrying out sections 4 through 6; and
       (2) any recommendations for legislation that the Secretary, 
     in consultation with the Director, determines to be necessary 
     to carry out sections 4 through 6.

     SEC. 8. FOREIGN-TRADE ZONE PREFERENCES.

       (a) Preference in Establishment of Foreign-Trade Zones in 
     Indian Enterprise Zones.--In processing applications for the 
     establishment of foreign-trade zones pursuant to the Act 
     entitled ``To provide for the establishment, operation, and 
     maintenance of foreign-trade zones in ports of entry of the 
     United States, to expedite and encourage foreign commerce, 
     and for other purposes'', approved June 18, 1934 (19 U.S.C. 
     81a et seq.), the Board shall consider, on a priority basis, 
     and expedite, to the maximum extent practicable, the 
     processing of any application involving the establishment of 
     a foreign-trade zone on Indian lands, including any Indian 
     lands designated as an empowerment zone or enterprise 
     community pursuant to section 1391 of the Internal Revenue 
     Code of 1986.
       (b) Application Procedure.--In processing applications for 
     the establishment of ports of entry pursuant to the Act 
     entitled ``An Act making appropriations for sundry civil 
     expenses of the Government for the fiscal year ending June 
     thirtieth, nineteen hundred and fifteen, and for other 
     purposes'', approved August 1, 1914 (19 U.S.C. 2), the 
     Secretary of the Treasury shall, with respect to any 
     application involving the establishment of a port of entry 
     that is necessary to permit the establishment of a foreign-
     trade zone on Indian lands--
       (1) consider on a priority basis; and
       (2) expedite, to the maximum extent practicable, the 
     processing of that application.
       (c) Application Evaluation.--In evaluating applications for 
     the establishment of foreign-trade zones and ports of entry 
     in connection with Indian lands, to the maximum extent 
     practicable and consistent with applicable law, the Board and 
     Secretary of the Treasury shall approve the 
     applications.
                                 ______
                                 
      By Mr. ALLARD (for himself and Mr. Santorum):
  S. 403. A bill to prohibit implementation of ``Know Your Customer'' 
regulations by the Federal banking agencies; to the Committee on 
Banking, Housing, and Urban Affairs.


     legislation to prohibit implementation of know your customer 
                              regulations

 Mr. ALLARD. Mr. President, I rise today to introduce 
legislation to help protect the financial privacy of Americans. The so-
called Know Your Customer regulations proposed by Federal banking 
agencies threaten the privacy of our financial transactions. My bill 
would ensure that those regulations are not enacted, and that Americans 
can be confident in the privacy of their bank account.
  Governmental overregulation has invaded nearly every aspect of our 
lives, often at the cost of our privacy. Technology has the potential 
to accelerate the invasion of our privacy.
  The Know Your Customer regulations have been proposed by the four 
banking regulators: the Federal Reserve, the FDIC, the Office of the 
Comptroller of the Currency, and the Office of Thrift Supervision. 
These regulations may force banks to snoop through customers' bank 
accounts under the guise of looking for ``suspicious activity.'' Banks 
would have to know the source of funds for all financial transactions. 
Specifically, the regulations would require banks to develop standards 
of normal and expected transactions for all accounts. The bank then 
would be required to monitor all account activity to see if it fits the 
normal and expected activity profile. If a financial transaction takes 
place that doesn't fit the model, the bank could be forced to file a 
suspicious activity report with a federal law enforcement agency, such 
as the FBI or DEA.
  Imagine that you sell an old car and then go to the bank to deposit 
the money in your account. You explain that you simply sold your car 
and this is the money from the sale. However, you are informed that the 
explanation is insufficient. The deposit does not fit your usual and 
expected transaction profile, so you might be reported to law 
enforcement officials. You may now have to prove to the satisfaction of 
the FBI or other federal agency that you are not a drug dealer or money 
launderer. These proposed regulations could force you to prove your 
innocence before you have even been accused of a crime.
  Unfortunately, this scenario is one that could be repeated many times 
over. Anytime someone receives a bonus at work, receives an 
inheritance, receives a large gift, sells a large item, or withdraws 
money to make a major purchase it could trigger a suspicious activity 
report and an investigation by law enforcement. The perverse effect of 
causing law enforcement officials to investigate so much mundane 
financial activity merely because it deviates from some profile of 
``normal'' is that resources will be unavailable to combat genuine 
financial fraud.
  Would all this happen? We don't know, but the extremely broad and 
vague wording of the draft regulations could certainly permit it to 
happen.
  Furthermore, these regulations are unnecessary because banks already 
partner with law enforcement to fight financial crime without invading 
the privacy of customers. Banks currently report insider abuse, 
violations of federal law, and potential money laundering activity. But 
these are after the fact. Banks are also required to report all cash 
transactions over $10,000. By contrast, the proposed regulations would 
force them to snoop through accounts to look for transactions to 
report, merely because they are deemed ``suspicious.'' Banks are then 
transformed from an agent monitoring regulatory compliance to an 
investigator and enforcer for the government. This creates a 
significant unfunded federal mandate for the banking industry.
  Accordingly, the proposed regulations are opposed by major banking 
groups, including the American Bankers Association and the Independent 
Bankers Association of America. They fear a loss of privacy for their 
customers that would negatively impact their industry. In addition, 
these regulations are very selective-credit unions, securities firms, 
and insurance firms would not be subject to the proposed regulations.
  Obviously, these proposed regulations could be detrimental to the 
millions of Americans who use a bank for

[[Page 2177]]

their financial transactions. This legislation would prevent the 
Federal banking agencies involved from implementing the proposed Know 
Your Customer regulations. We must protect the financial privacy of 
Americans, and prevent the proposed regulations from being enacted.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 403

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

     SECTION 1. PROHIBITION ON IMPLEMENTATION.

       (a) In General.--No regulation or amendment thereto 
     prescribed by the Secretary of the Treasury or any Federal 
     banking agency under subchapter II or III of chapter 53 of 
     title 31, United States Code, chapter 2 of Public Law 91-508, 
     or any other provision of Federal law, that requires a 
     depository institution or any other private entity to obtain 
     information concerning any person in connection with a 
     financial transaction between such person and the depository 
     institution or other private entity (commonly referred to as 
     ``know your customer'' regulations) may be implemented or 
     otherwise take effect on or after the date of enactment of 
     this Act.
       (b) Definitions.--The terms ``Federal banking agency'' and 
     ``depository institution'' have the same meanings as in 
     section 3 of the Federal Deposit Insurance Act.
                                 ______
                                 
      By Mr. THOMAS (for himself, Mr. Enzi, Mr. Helms, Mr. Murkowski, 
        Mr. Coverdell, Mr. Hagel, Mr. Smith of Oregon, Mr. Smith of New 
        Hampshire, Mr. Roberts, Mr. Nickles, and Mr. Sessions):
  S. 404. A bill to prohibit the return of veterans memorial objects to 
foreign nations without specific authorization in law; to the Committee 
on Veterans' Affairs.


      s. 404: the veterans memorial physical integrity act of 1999

  Mr. THOMAS. Mr. President, I come to the floor today to 
introduce S. 404, a bill to prohibit the return to a foreign country of 
any portion of a memorial to American veterans without the express 
authorization of Congress. The bill is identical to S. 1903 which I 
introduced at the end of the last Congress.
  I would not have thought that a bill like this was necessary, Mr. 
President. It would never have occurred to me that an Administration 
would even briefly consider dismantling part of a memorial to American 
soldiers who died in the line of duty in order to send a piece of that 
memorial to a foreign country; but a real possibility of just that 
happening exists in my state of Wyoming involving what are known as the 
``Bells of Balangiga.''
  In 1898, the Treaty of Paris brought to a close the Spanish-American 
War. As part of the treaty, Spain ceded possession of the Philippines 
to the United States. At about the same time, the Filipino people began 
an insurrection in their country. In August 1901, as part of the 
American effort to stem the insurrection, a company of 74 officers and 
men from the 9th Infantry, Company G, occupied the town of Balangiga on 
the island of Samar. These men came from Ft. Russell in Cheyenne, 
Wyoming--today's F.E. Warren Air Force Base.
  On September 28 of that year, taking advantage of the preoccupation 
of the American troops with a church service for the just-assassinated 
President McKinley, a group of Filipino insurgents infiltrated the 
town. Only three American sentries were on duty that day. As described 
in an article in the November 19, 1997 edition of the Wall Street 
Journal:

       Officers slept in, and enlisted men didn't bother to carry 
     their rifes as they ambled out of their quarters for 
     breakfast. Balangiga had been a boringly peaceful site since 
     the infantry company arrived a month earlier, according to 
     military accounts and soldiers' statements. The quiet ended 
     abrupty when a 23 year old U.S. sentry named Adolph Gamlin 
     walked past the local police chief. In one swift move, the 
     Filipino grabbed the slightly built Iowan's rifle and smashed 
     the butt across [Gamlin's] head. As PFC Gamlin crumpled, the 
     bells of Balangiga began to peal.
       With the signal, hundreds of Filipino fighters swarmed out 
     of the surrounding forest, armed with clubs, picks and 
     machete-like bolo knives. Others poured out of the church; 
     they had arrived the night before, disguised as women 
     mourners and carrying coffins filled with bolos. A sergeant 
     was beheaded in the mess tent and dumped into a vat of 
     steaming wash water. A young bugler was cut down in a nearby 
     stream. The company commander was hacked to death after 
     jumping out a window. Besieged infantrymen defended 
     themselves with kitchen forks, mess kits and baseball bats. 
     Others threw rocks and cans of beans.
       Though he was also slashed across the back, PFC . . . 
     Gamlin came to and found a rifle. By the time he and the 
     other survivors fought their way to the beach, 38 U.S. 
     soldiers were dead and all but six of the remaining men had 
     been wounded.

  The remaining soldiers escaped in five dug-out canoes. Only three 
boats made it to safety on Leyte. Seven men died of exposure at sea, 
and another eight died of their wounds; only 20 of the company's 74 
members survived.
  A detachment of 54 volunteers from 9th infantry units stationed at 
Leyte returned to Balangiga and recaptured the village. They were 
reinforced a few days later from Companies K and L of the 11th Infantry 
Regiment. When the 11th Infantry was relieved on October 18, by 
Marines, the 9th Infantry took two of the church bells and an old 
cannon with them back to Wyoming as memorials to the fallen soldiers.
  The bells and cannon have been displayed in front of the base 
flagpole on the central parade grounds since that time. The cannon was 
restored by local volunteers and placed under a glass display case in 
1985 to protect it from the elements. The bells were placed in openings 
in a large specially constructed masonry wall with a plaque dedicating 
the memorial to the memory of the fallen soldiers.
  Off and on since 1981, there have been some discussions in various 
circles in Cheyenne, Washington, and Manila about the future of the 
bells, including the possibility of returning them to the Philippines. 
Most recently, the Philippine government--having run into broad 
opposition to their request to have both bells returned to them--has 
proposed making a copy of both bells, and having both sides keep one 
copy and one original. Opposition to the proposal from local and 
national civic and veterans groups has been very strong.
  Last year, developments indicated to me that the White House was 
seriously contemplating returning one or both of the bells to the 
Philippines. 1998 marked the 100th anniversary of the Treaty of Paris, 
and a state visit by then-President Fidel Ramos--his last as 
President--to the United States. The disposition of the bells was high 
on President Ramos' agenda; he has spoken personally to President 
Clinton and several members of Congress about it over the last three 
years, and made it one of only three agenda items the Filipino 
delegation brought to the table. Since January 1998, the Filipino press 
has included almost weekly articles on the bells' supposed return, 
including several in the Manila Times in April and May which reported 
that a new tower to house the bells was being constructed in Borongon, 
Samar, to receive them in May. In addition, there have been a variety 
of reports vilifying me and the veterans in Wyoming for our position on 
the issue, and others threatening economic boycotts of U.S. products or 
other unspecified acts of retaliation to force capitulation on the 
issue.
  Moreover, inquiries to me from various agencies of the Administration 
soliciting the opinion of the Wyoming congressional delegation on the 
issue increased in frequency in the first four months of 1998. I also 
learned that the Defense Department, perhaps in conjunction with the 
Justice Department, prepared a legal memorandum outlining its opinion 
of who actually controls the disposition of the bells.
  In response, the Wyoming congressional delegation wrote a letter to 
President Clinton on January 9, 1998, to make clear our opposition to 
removing the bells. In response to that letter, on May 26 I received a 
letter from Sandy Berger of the National Security Council which I think 
is perhaps one of the best indicators of the direction the White House 
was headed on this issue.
  To head off any move by the Administration to dispose of the bells, I 
and Senator Enzi introduced S. 1903 on April 1. The bill had 18 
cosponsors, including the distinguished Chairmen of

[[Page 2178]]

the Committees on Armed Services, Foreign Relations, Finance, Energy 
and Natural Resources, Rules, Ethics, and Banking; the Chairmen of five 
Subcommittees of the Foreign Relations Committee; and five members of 
the Armed Services Committee.
  Mr. President, at this point let me dispose of a canard that was 
forwarded shortly after the time I introduced S. 1903 by those seeking 
the return of the bells. They asserted that the bill was actually in 
contravention of the wishes of the people of the State of Wyoming 
because the Wyoming Legislature, quoting a letter from the Ambassador 
of the Philippines dated April 3, 1998, ``supports the sharing of the 
bells.'' That statement, however, glosses over the real facts.
  Wyoming's legislature is not a ``professional'' one--that is, the 
legislators have other, full-time jobs and the Legislature only sits 
for forty days at the beginning of each year and twenty days in the 
fall. When the Legislature meets, it is often to process an entire 
year's worth of legislation in just a few weeks.
  Like Congress, the Wyoming Legislature has a formal process of 
introducing, considering, and then voting on bills which become law 
upon the signature of the chief executive--in this case the governor. 
Also like Congress, the Legislature has a system for expressing its 
non-binding viewpoint on certain issues through resolutions. But unlike 
Congress, the Legislature also has an informal resolution process to 
express the viewpoint of only a given number of legislators, as opposed 
to the entire legislative body, on a given topic; the vehicle for such 
a process is called a ``joint resolution.''
  In this process, a legislator circulates the equivalent of a petition 
among his or her colleagues. Support for the subject matter is 
signified simply by signing one's name to the petition. Once the 
sponsor has acquired all the signatures he or she can--or wishes to--
acquire, the joint resolution is simply deposited for the record with 
the Office of the Governor; it is never--I repeat never--voted on in 
either House of the Legislature, nor is it signed by the governor. As a 
consequence, it is not considered to be the position of, or the 
expression of the will of, the Legislature as a whole, but only of 
those legislators who signed it.
  Although the bells are an issue of interest among some circles state-
wide, the issue is not well-known all over Wyoming. I have heard from 
several of the signatories of the joint resolution on the bells that 
they were not aware of the circumstances surrounding the bells at the 
time they signed the joint resolution. In this regard, it is important 
to note that the sponsor of the joint resolution did not enlighten them 
about the role of the bells in the unprovoked killing of 54 American 
soldiers in Balangiga before they signed the document. Moreover, that 
fact was completely and purposefully left out of the wording of the 
joint resolution itself; the death of these American soldiers was 
completely glossed over. The closest the joint resolution gets to 
mentioning the surprise attack and resulting deaths is this, which I 
quote verbatim:

       Whereas, at a point in the relationship, nearly one hundred 
     (100) years ago following the Spanish-American War, armed 
     conflict occurred between the United States and the 
     Philippines; and
       Whereas, a particularly noteworthy incident occurred on the 
     island of Samar in 1901 during the course of that conflict; 
     and
       Whereas, that incident involved the ringing of the Church 
     Bells of Balangiga on Samar to signal the outbreak of 
     fighting.

  Imagine. The author of the joint resolution reduced the surprise 
attack and horrible deaths of fifty-four soldiers to a seemingly 
innocent, benign ``noteworthy incident.'' So while some may rely on the 
joint resolution as though it were the ``voice of Wyoming'' in support 
of their position, an examination of the actual facts surrounding it 
proves that reliance to be very misplaced.
  While time has passed since this issue came to a head last April, Mr. 
President, my deep concern that the Administration might still dispose 
of the bells has not. The Administration has not disavowed its earlier 
intent to seek to return the bells--an intent derailed by the 
introduction of S. 1903 last year. In addition, despite Article IV, 
section 3, clause 2 of the Constitution, which states that the 
``Congress shall have the power to dispose of . . . Property belonging 
to the United States,'' the Justice Department has issued an informal 
memorandum stating that the Bells could possibly be disposed of by the 
President pursuant to the provisions of 10 U.S.C. Sec. 2572.
  I continue to be amazed, even in these days of political correctness 
and revisionist history, that a U.S. President--our Commander-in-
Chief--would appear to be ready to ignore the wishes of our veterans 
and tear down a memorial to U.S. soldiers who died in the line of duty 
in order to send part of it back to the country in which they were 
killed. Amazed, that is, until I recall this President's fondness for 
sweeping apologies and what some might view as flashy P.R. gestures. 
Consequently, Senator Enzi and I have decided to reintroduce the bill 
in the 106th Congress.
  Mr. President, to the veterans of Wyoming, and the United States as a 
whole, the bells represent a lasting memorial to those fifty-four 
American soldiers killed as a result of an unprovoked insurgent attack 
in Balangiga on September 28, 1901. In their view, which I share, any 
attempt to remove either or both of the bells--and in doing so actually 
physically dismantling a war memorial--is a desecration of that memory.
  S. 404 will protect the bells and similar veterans memorials from 
such an ignoble fate. The bill is quite simple; it prohibits the 
transfer of a veterans memorial or any portion thereof to a foreign 
country or government unless specifically authorized by law; 
Representative Barbara Cubin is introducing similar legislation this 
week in the House. I am pleased to be joined by Senators Enzi, Helms, 
Hagel, Smith of Oregon, Murkowski, Smith of New Hampshire, Roberts, 
Sessions, Nickles, and Coverdell as original cosponsors. I trust that 
my colleagues will support its swift passage.
  Mr. President, I ask unanimous consent that the bill and additional 
material be printed in the Record.
  There being no objection, the materials were ordered to be printed in 
the Record, as follows:

                                 S. 404

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

     SECTION 1. PROHIBITION ON THE RETURN OF VETERANS MEMORIAL 
                   OBJECTS TO FOREIGN NATIONS WITHOUT SPECIFIC 
                   AUTHORIZATION IN LAW.

       (a) Prohibition.--Notwithstanding section 2572 of title 10, 
     United States Code, or any other provision of law, the 
     President may not transfer a veterans memorial object to a 
     foreign country or entity controlled by a foreign government, 
     or otherwise transfer or convey such object to a person or 
     entity for purposes of the ultimate transfer or conveyance of 
     such object to a foreign country or entity controlled by a 
     foreign government, unless specifically authorized by law.
       (b) Definitions.--In this section:
       (1) Entity controlled by a foreign government.--The term 
     ``entity controlled by a foreign government'' has the meaning 
     given that term in section 2536(c)(1) of title 10, United 
     States Code.
       (2) Veterans memorial object.--The term ``veterans memorial 
     object'' means any object, including a physical structure or 
     portion thereof, that--
       (A) is located at a cemetery of the National Cemetery 
     System, war memorial, or military installation in the United 
     States;
       (B) is dedicated to, or otherwise memorializes, the death 
     in combat or combat-related duties of members of the United 
     States Armed Forces; and
       (C) was brought to the United States from abroad as a 
     memorial of combat abroad.
                                  ____



                                          The American Legion,

                                    Washington, DC, April 8, 1998.
     Hon. Craig Thomas,
     U.S. Senate,
     Washington, DC.
       Dear Senator Thomas: The American Legion supports S. 1903, 
     legislation that would prohibit the return of veterans 
     memorial objects without specific authorization in law by the 
     United States Congress.
       Article IV, Section III of the United States Constitution 
     specifically grants Congress the authority to dispose of 
     property belonging to the United States. The Preamble to the 
     Constitution of The American Legion specifically calls for 
     The American Legion to ``uphold and defend the Constitution 
     of the United States of America'' and ``to preserve

[[Page 2179]]

     the memories and incidents of our associations in the Great 
     Wars.'' The American Legion believes your legislation would 
     help achieve these two important democratic tasks.
       Once again. The American Legion supports S. 1903, 
     legislation that would prohibit the return of veterans 
     memorial objects without specific authorization in law by the 
     United States Congress. The American Legion appreciates your 
     continued leadership on issues important to veterans, their 
     families and the United States of America.
           Sincerely,

                                           Steve A. Robertson,

                                                Director, National
     Legislative Commission.
                                  ____

                                       Veterans of Foreign Wars of


                                            the United States,

                                                  January 6, 1998.
     Re Bells of Balangiga.

     Hon. Douglas K. Bereuter,
     Chairman, East Asia Subcommittee, Committee on International 
         Relations, U.S. House of Representatives, Washington, DC.
       Dear Mr. Chairman: Recently, we learned that Mr. Robert 
     Underwood, U.S. Representative from Guam, has introduced 
     House Resolution 312 urging the President to authorize the 
     transfer of ownership of one of the Bells of Balangiga to the 
     Philippines. In brief, the Bells of Balangiga, which serve as 
     a war memorial to U.S. Army soldiers killed by insurgents in 
     the Philippines in 1901, are located at E.E. Warren Air Force 
     Base in Cheyenne, Wyoming. The proposal of the Philippine 
     Ambassador to return one of the bells to the Philippines is 
     opposed by veterans and the supporting community in Wyoming.
       Although the 98th National Convention of the Veterans of 
     Foreign Wars of the United States did not adopt a Resolution 
     on this issue, the VFW does have a position on the Bells of 
     Balangiga. After carefully reviewing the history and 
     background of the issue involving the Bells of Balangiga, the 
     VFW opposes and rejects any compromise or agreement with the 
     government of the Philippines which would result in the 
     return of any of the Bells of Balangiga to the Philippines. 
     The church bells were paid for with American blood in 1901 
     when they were used to signal an unprovoked attack by 
     insurrectionists against an American Army garrison which 
     resulted in the massacre of 45 American soldiers. The Bells 
     serve is a permanent memorial to the sacrifice of the 
     American soldiers from Fort D.A. Russell (Wyoming) who gave 
     their lives for their country while doing their duty. We do 
     not think any of the bells should be given back to the 
     Philippines. To return the bells sends the wrong message to 
     the world. In addition, local Wyoming veterans and other 
     citizens are opposed to dismantling the sacred monument and 
     returning any part of it to the Philippines.
       In the past, several years, the Philippine Government has 
     made several attempts to get the Bells of Balangiga returned 
     to their country. To date, they have not been successful in 
     any of their attempts to get the bells returned. For the past 
     95 years, two of the bells have been enshrined at Fort 
     Russell/Warren AFB in Wyoming. The third is with the U.S. 
     Army's 9th Infantry in the Republic of Korea.
       Recently, Philippine President Fidel Ramos ordered his 
     United States Ambassador, Paul Rabe, to step up his effort on 
     the bells hoping to have them returned in time for next 
     summer's celebration of 100 years of Philippine independence. 
     In October 1997, Ambassador Paul Rabe suggested a compromise 
     solution. He suggested returning one of the bells to the 
     Philippines thereby giving both nations an original and the 
     opportunity to make a replica. In fact, the justification for 
     the latest proposal of the Philippine government is fatally 
     flawed. The Bells of Balangiga played no part at all in 
     Admiral Dewey's defeat of the Spanish Navy at Manila Bay in 
     1898. Subsequently, that naval defeat forced the Spanish to 
     relinquish control of the Philippine Islands to the U.S. The 
     soldiers killed were from Fort D.A. Russell and were ordered 
     to the Philippine Islands because a savage guerrilla war had 
     broken out after the conclusion of the Spanish-American War 
     of 1896. Therefore, we believe the bells have no significance 
     or connection to the celebration of Philippine independence.
       Kenneth Weber, Commander of the VFW Department of Wyoming, 
     expressed the feelings of local Wyoming veterans and 
     supporters when he said, ``The members of the Veterans of 
     Foreign Wars of the United States . . . will not stand idle 
     and allow a sacred memorial to those soldiers killed while 
     doing their duty to be dismantled.''
       We believe the Wyoming veterans are correct on this issue. 
     The bells should stay right where they are--in Wyoming and 
     with the 9th Regiment.
           Respectfully,
                                              Kenneth A. Steadman,
     Executive Director.
                                  ____

                                              The American Legion,


                                        Department of Wyoming,

                                   Cheyenne, WY, December 5, 1997.
     Hon. William Clinton,
     U.S. President, White House, Washington DC.
       Dear President Clinton: A copy of House Resolution 312 
     urging our President to transfer one of the Bells of 
     Balingiga from F.E. Warren Air Force Base, Cheyenne, Wyoming, 
     to the Philippines has been received by The American Legion, 
     Department of Wyoming Headquarters. On behalf of the Wyoming 
     Legionnaires and other veterans, I urge you to oppose this 
     resolution. Also attached is a Resolution from The American 
     Legion, Department of Wyoming, strongly advocating the 
     retention of both bells at F.E. Warren AFB in Cheyenne. We 
     still feel strongly that to dismantle a memorial to our 
     fallen comrades--even partially--that is almost a hundred 
     years old is a breach of faith with those who gave the 
     ultimate sacrifice in service to their country. The Preamble 
     to the Constitution of The American Legion states ``For God 
     and country, we associate ourselves for the following 
     purposes . . . to preserve the memories and incidents of our 
     association in the great wars: . . .'' We have seen some of 
     the emotions of living veterans at such memorials as the 
     Vietnam Wall and the Korean War Memorial in Washington DC. To 
     remove a memorial from the oldest active military 
     installation in our country would send a very adverse message 
     to those who are serving our country at the present time and 
     in the future.
           Sincerely,
                                                 Joseph G. Sestak,
     Department Commander.
                                  ____

                                           United Veterans Council


                                                   of Wyoming,

                                     Cheyenne, WY, March 13, 1998.
     The President of the United States,
     William Jefferson Clinton,
     Washington, DC.
       Dear President Clinton: I am writing to you concerning an 
     issue which is of great importance to Wyoming's veterans and 
     other citizens of our great state. The United Veterans 
     Council of Wyoming, Inc. is a coalition of veteran's service 
     organizations located throughout Wyoming. Members of the 
     United Veterans Council include the American Legion, the 
     Disabled American Veterans, the Veterans of Foreign Wars of 
     the United States, and eleven smaller, though no less 
     important, veteran's service organizations.
       As you may know, the Philippine government has attempted 
     since 1980 to have the Bells of Balangiga returned. In brief, 
     the bells serve as a permanent war memorial to U.S. Army 
     soldiers sent from Ft. D.A. Russell, Wyoming to the 
     Philippine Islands following the Spanish-American War of 
     1898. In 1901, soldiers garrisoned in the village of 
     Balangiga to protect the village from Muslim and rebel raids, 
     were killed by insurgents who used the church bells to signal 
     a surprise attack on a quite Sunday morning. The bells now 
     hang from an attractive brick memorial near the parade 
     grounds of Fort Russell, now F.E. Warren AFB, in Cheyenne. 
     Pentagon officials have determined that the United States 
     government has proper title to the bells under international 
     law.
       Since his posting to Washington in 1993, Philippine 
     Ambassador Paul Rabe has been quietly negotiating the return 
     of the bells with Wyoming church leaders, civic 
     organizations, local businessmen with economic ties to the 
     Philippines and state law-makers.
       However, after several trips to Wyoming, Ambassador Rabe 
     has yet to meet with veterans or veteran's organizations. It 
     is important to know, that for ninety-five years, U.S. 
     military personnel and Wyoming veterans have kept safe, 
     maintained, and preserved the bells. Veterans were 
     instrumental in establishing the permanent memorial as it now 
     stands, dedicated to the sacrifice of fallen comrades. The 
     memorial is adjacent to the base flag pole and part of the 
     daily retreat ceremony.
       Philippine President Fidel V. Ramos is visiting Washington 
     in April. I understand he intends to meet with you to 
     discuss, among other things, House Resolution 312 urging the 
     transfer of ownership of one of the bells to the Philippines 
     as a compromise offer. President Ramos is attempting to 
     justify the return of one or more bells for use during a 
     centennial celebration of Philippine independence from Spain.
       As the VFW and others have continually pointed out, the 
     Bells of Balangiga played no role in Admiral Dewey's defeat 
     of the Spanish Navy at Manila Bay in 1898, three years before 
     the bells were used to signal the massacre of the U.S. 
     soldiers at Balangiga. Following Admiral Dewey's victory, 
     Spain relinquished control of the islands to the United 
     States. The Philippines were granted their independence in 
     1946. We believe the bells have no significance or connection 
     to any celebration of Philippine independence from Spain.
       The Philippine government even compared the church bells to 
     our Liberty Bell, a comparison which is completely unfounded 
     and quite a stretch. The Liberty Bell was rung on July 8, 
     1776 following the first public reading of the Declaration of 
     Independence. The Bells of Balangiga, as used in 1901, 
     signaled the brutal massacre by Filipino insurrectionists 
     hiding in the church and in the jungle on unsuspecting and 
     unarmed soldiers of Company C, Ninth U.S. Infantry Regiment 
     garrisoned there. Surprised and outnumbered, the soldiers 
     were nearly wiped out in the first terrible minutes of 
     fighting. Of the company's original compliment of seventy-
     four

[[Page 2180]]

     soldiers, forty-eight were killed or unaccounted for, twenty-
     two were wounded, and only four escaped unharmed to the 
     American garrison at Basey.
       After a careful review of the history surrounding the 
     bells, the United Veterans Council of Wyoming, Inc. on behalf 
     of our member veteran's organizations and supporting 
     citizens, opposes any compromise offer. The Council does so 
     without malice towards the people of the Philippines. We 
     simply hold dear, the feelings of mutual respect and a shared 
     memory of fallen comrades who paid the ultimate sacrifice 
     while serving their country.
       On his last visit to Cheyenne on February 18, 1998, 
     Ambassador Rabe was asked if the bells would be returned to 
     Catholic churches or to be used in a secular setting. The 
     Ambassador replied, ``That is something to be discussed.'' It 
     is an affront to the soldiers who died, and their survivors, 
     to suggest that a permanent memorial be dismantled for no 
     better reasons than are being provided by the Philippine 
     government.
       Over the years, the United States government has 
     repeatedly, and for all the right reasons, declined to return 
     the Bells of Balangiga to the Philippine government. The 
     church bells were paid for with American blood in 1901 when 
     they were used to signal an attack on U.S. soldiers. The 
     bells should stay right where they are--in Wyoming.
           Sincerely yours,
                                                        Jim Lloyd,
     President.
                                  ____



                                              The White House,

                                       Washington, March 26, 1998.
     Hon. Craig Thomas,
     U.S. Senate,
     Washington, DC.
       Dear Senator Thomas: Thank you for your letter concerning 
     the bells of Balangiga and the proposed compromise solution 
     for addressing this issue. I am writing on behalf of the 
     President to request that you not oppose the compromise 
     solution. We believe it effectively takes into account the 
     interests and sensitivities of both American veterans and the 
     people of the Philippines.
       I understand American forces brought the two bells of 
     Balangiga to Wyoming following the Philippine insurrection of 
     1901, and that they currently are on display at F.E. Warren 
     Air Force Base in Cheyenne. As you may know, Philippine 
     President Fidel Ramos is eager to explore the possibility of 
     returning at least one of the bells during this centennial 
     year of the Philippines' declaration of independence from 
     Spain. President Ramos will be the President's guest at the 
     White House on April 10, 1998. The bells of Balangiga will be 
     one of the principal issues on the discussion agenda.
       I appreciate the importance of the bells to Wyoming 
     veterans who consider them to be symbols of the supreme 
     sacrifice American soldiers, sailors and airmen often have 
     had to make far from home. At the same time, Filipinos see 
     the bells as representative of a struggle for national 
     independence lasting more than five centuries.
       Our longstanding ties with the Philippines were forged in 
     the intense combat of World War II by tens of thousands of 
     Americans and Filipinos. Growing out of this experience is a 
     relationship, which is closer on a person-to-person level 
     than with any other country in East Asia. The Philippines is 
     a key ally in the Asia Pacific and shares our commitment to 
     democratic and free market principles. Presidential elections 
     in May of this year will re-enforce the democratic traditions 
     and institutions Filipinos have so eagerly embraced.
       I believe a compromise solution, by which the United States 
     and the Philippines would each retain custody of one of the 
     original bells, offers a unique opportunity to honor both the 
     American soldiers who gave their lives in the town of 
     Balangiga and the centennial celebration of the Philippines' 
     first step toward democracy. I understand the concerns of 
     those who are worried that any alteration of the existing 
     monument might cause present day Americans to forget the 
     sacrifices of past generations. But the historical 
     significance of Balangiga rests on the fact that today the 
     United States and the Philippines are united in a common 
     cause of promoting stability and prosperity throughout the 
     Asia Pacific region. I urge you and your colleagues from the 
     Wyoming Congressional Delegation to reevaluate the compromise 
     approach to resolving the bells of Balangiga question.
           Sincerely,

                                             Samuel R. Berger,

                                        Assistant to the President
                            for National Security Affairs.

 Mr. ENZI. Mr. President, I rise to join my colleague, the 
senior Senator from my state of Wyoming, in the effort to safeguard the 
integrity of the nation's military memorials from the politically 
expedient demands of foreign governments--in this case the so-called 
``Bells of Balangiga'' war memorial located in Wyoming's capital city 
of Cheyenne. Though a similar bill was introduced during the last 
congress, it was not voted on before adjournment. Unfortunately, the 
issue this legislation hopes to address is alive and well.
  Many people contend that church bells are not a fitting subject for a 
war memorial. The circumstances surrounding these particular bells, 
however, are not normal. As the Senior Senator from Wyoming related, 
those bells were not used by Filipino insurgents to call the faithful 
to prayer that harrowing morning. They were used instead to signal the 
massacre of Wyoming troops as they sat down, unarmed, to breakfast. Of 
the 74 officers and men in the garrison, only twenty survived. Eye 
witness accounts had some of the attackers disguised as women, their 
weapons hidden beneath their dresses. Many others smuggled their 
weapons into the village hidden in the coffins of children. Under those 
circumstances, one must conclude that the bells in question were used 
to kill. Consequently I feel their use as the subject for a war 
memorial is wholly appropriate.
  This is especially true in light of the use for the bells originally 
intended by the Philippine government. As everyone conceded last year, 
the Philippine government desired the return of these bells in time for 
their 100th anniversary of independence. Apparently, these bells do not 
represent a religious symbol for the Philippine government either.
  Most significant of all, however, is the purpose they currently 
serve. Contrary to the assumptions of many, they do not memorialize 
American foreign policies of the time. Nor do they serve as a tribute 
to our political system, America's turn of the century notions of race 
relations, or the performance of the American troops who served there 
during that conflict. Rather, these bells memorialize one thing and one 
thing only: The tragic and premature deaths of 54 young men who 
volunteered to do the bidding of the American people. For this purpose 
I believe these bells serve as a most fitting memorial indeed and I am 
opposed to their dismantlement.
  It is time to honor our veterans, our war dead, and the principle 
that in this country, we do not submit to government by Presidential 
fiat. I ask the support of my colleagues for this legislation.
                                 ______
                                 
      By Mr. HOLLINGS:
  S. 405. A bill to prohibit the operation of civil supersonic 
transport aircraft to or from airports in the United States under 
certain circumstances; to the Committee on Commerce, Science, and 
Transportation.


        commercial operation of supersonic transport legislation

 Mr. HOLLINGS. Mr. President, today, I introduce legislation to 
ban the Concorde (flown by British Airways and Air France to the U.S.) 
from operating in the U.S. A companion bill is being offered in the 
House by Congressman Oberstar. This measure is in direct response to a 
pending European Union resolution which places arbitrary design-based 
barriers on the operation of U.S.-registered, huskitted, aircraft 
meeting the highest U.S. technological noise standards. The EU, under 
the guise of an environmental regulation, has essentially declared a 
trade war. Their regulation, a so-called ``non-addition rule,'' is to 
be voted on by the EU in mid-February to become effective April 1, 
1999. After that date, no U.S.-registered, stage 3 compliant aircraft 
(the quietest standard) can be operated in Europe. This EU regulation 
not only violates the Chicago Convention (which sets the framework for 
all bilateral aviation agreements) as it not only refuses to recognize 
U.S. air carriers' air worthiness certificates issued by our 
Government, it also holds great economic consequences for U.S. 
manufacturers and for many airlines. Those which are most vulnerable 
are small airlines and freight operators, which have fleets and 
operations based entirely on these aircraft. In essence, this ruling 
treats domestic and foreign operations differently in violation of the 
non-discrimination principle. The United States will not suffer such 
insidious trade practices lightly. I ask unanimous consent that the 
text of the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

[[Page 2181]]



                                 S. 405

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

     SECTION 1. COMMERCIAL OPERATION OF SUPERSONIC TRANSPORT 
                   CATEGORY AIRCRAFT.

       The Secretary of Transportation shall prohibit the 
     commercial operation of civil supersonic transport category 
     aircraft to or from an airport in the United States--
       (1) if the Secretary determines that the European Union has 
     adopted Common Position (EC) No. 66/98 as a final regulation, 
     unless
       (2) the Secretary also determines that such aircraft comply 
     with Stage 3 noise levels.
                                 ______
                                 
      By Mr. MURKOWSKI (for himself, Mr. Lott, Mr. Baucus, Mr. Inhofe, 
        Mr. Cochran, Mr. Campbell, and Mr. Inouye):
  S. 406. A bill to amend the Indian Health Care Improvement Act to 
make permanent the demonstration program that allows for direct billing 
of medicare, medicaid, and other third party payors, and to expand the 
eligibility under such program to other tribes and tribal 
organizations.


   alaska native and american indian direct reimbursement act of 1999

 Mr. MURKOWSKI. Mr. President, today I rise on behalf of myself 
and the Majority Leader Mr. Lott, Senator Baucus, Senator Cochran, 
Senator Inhofe, Senator Campbell, and Senator Inouye, to introduce 
legislation to permanently authorize and expand the Medicare and 
Medicaid direct collections demonstration program under section 405 of 
the Indian Health Care Improvement Act.
  This Act will end much of the red tape and bureauracy for IHS 
facilities involved with Medicare and Medicaid reimbursement, and will 
mean more Medicaid and Medicare dollars to Native health facilities to 
use for improving health care.
  Our bill will allow Native hospitals to collect Medicare and Medicaid 
fund directly from the Health Care Financing Administration instead of 
having to go through the maze of regulations mandated by IHS.
  This bill is an expansion of a current demonstration project that 
includes Bristol Bay Health Corporation of Dillingham, Alaska: the 
Southeast Alaska Regional Health Corporation of Sitka, Alaska; the 
Mississippi Choctaw Health Center of Philadelphia, Mississippi: and the 
Choctaw Tribe of Durant, Oklahoma. All of the participants in the 
demonstration program--as well as the Department of Health and Human 
Service and the Indian Health Services report that the program is a 
great success. HHS Secretary Donna Shalala stated in a letter to 
Senator John McCain on July 23, 1996, that the program has:
  Dramatically increased collections for Medicare and Medicaid 
services, which in turn has provided badly-needed revenues for Indian 
and Alaska Native health care:
  Sigificantly reduced the turn-around time between billing and the 
receipt of payment for Medicare and Medicaid services: and,
  Increased the administrative efficiency of the participating health 
facilities by empowering them to track their own Medicare and Medicaid 
billings and collections.
  In her letter, Secretary Shalala also mentions that the Southeast 
Alaska Regional Health Corporation has been able to make ``great 
strides in upgrading the health facilities'' as a result of increased 
collections brought on by its participation in the demonstration 
program.
  In 1998, when the demonstration program was about to expire, Congress 
extended it through FY 2001. This extension has allowed the 
participants to continue their direct billing and collection efforts 
and has provided Congress with additional time to consider whether to 
permanently authorize the program.
  It is time to recognize the benefits of the demonstration program by 
enacting legislation that would permanently authorize it and expand it 
to other eligible tribal participants.
                                 ______
                                 
      By Mr. LAUTENBERG (for himself, Mr. Torricelli, Mr. Schumer, Mrs. 
        Feinstein, Mr. Robb, Mr. Sarbanes, Mr. Kennedy, Mr. Kerry, and 
        Ms. Mikulski):
  S. 407. A bill a reduce gun trafficking by prohibiting bulk purchases 
of handguns; to the Committee on the Judiciary.

                          ____________________