[Congressional Record (Bound Edition), Volume 147 (2001), Part 8]
[Senate]
[Pages 11011-11016]
[From the U.S. Government Publishing Office, www.gpo.gov]



          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mr. HUTCHINSON (for himself and Mr. Dayton):
  S. 1058. A bill to amend the Internal Revenue Code of 1986 to provide 
tax relief for farmers and the producers of biodiesel, and for other 
purposes; to the Committee on Finance.
  Mr. HUTCHINSON. Mr. President, the debate over energy use in America 
has gripped our national attention for well over a year. A week doesn't 
go by that you don't pick up a newspaper or magazine and read at least 
one story about our Nation's domestic or foreign energy crisis. One 
issue in the energy debate that has caught my attention and that of 
farmers in my State is renewable fuels.
  The technology to convert agricultural crops into combustible fuel, 
suitable for use in modern diesel and gasoline engines, has existed for 
more than 100 years. I believe this process continues to hold great 
potential for America. The production and use of biofuels offers our 
Nation a safe, renewable source of energy for travel and transport, not 
to mention the long-term economic benefits for farmers and consumers.
  That is why I rise today to introduce the Biodiesel Renewable Fuels 
Act. I am pleased that Senator Dayton has joined with me as my lead 
cosponsor. This bill encourages the use of biodiesel by establishing a 
tax credit for manufacturers who produce a blend of conventional diesel 
and soybean or oilseed additives. By reducing the diesel fuel excise 
tax, suppliers will receive a 3-cent-per-gallon credit for using a 
diesel blend that contains at least 2 percent biodiesel. This tax 
credit is very similar to the existing tax incentive for ethanol, a 
biofuel made from corn-based products. I believe a tax incentive for 
soy-based biodiesel will increase domestic production and capture the 
agricultural, environmental and economical benefits associated with 
using this renewable source of energy.
  Most Americans don't realize that farm communities sit atop a vast 
and virtually untapped source of renewable fuels in the form of 
agriculture crops. Farmers in Arkansas are interested in developing new 
markets for soybean and oilseed products. In Arkansas for example, 
farmers grew 94 million bushels, or 2.5 million metric tons, of 
soybeans last year. Nationally, farmers produced 2.6 billion bushels of 
soybeans in 1999-2000, equal to 72 million metric tons. The oil derived 
from soybeans and other oilseed crops can be refined into a diesel 
additive or diesel alternative. According to a USDA study released in 
1996, an annual market for biodiesel of 100 million gallons in the 
United States would raise the price of soybeans by up to seven cents 
per bushel. Given the recent U.S. soybean crop, that kind of annual 
market would result in more than $168 million directly related to the 
use of soy-based biodiesel.

[[Page 11012]]

  Producing biodiesel domestically also means that more money stays in 
the U.S. Instead of purchasing more foreign petroleum, manufacturers 
can reduce their dependence on overseas oil by adding biodiesel blends 
for use in existing diesel engines. If domestic companies are 
encouraged to develop the infrastructure necessary to produce more 
biodiesel, the economic effect will be more U.S. jobs, lower prices for 
the consumer and larger markets for farmers.
  Developing markets for agricultural commodities and reducing our 
dependence on foreign oil is good, but there are environmental benefits 
as well. It is well documented that the burning of biofuels in 
combustion engines reduces the emissions of harmful greenhouse gases 
and particulate matter. In fact, biodiesel passes some of the 
Environmental Protection Agency's most stringent emissions and health 
standards for fuel additives and fuel alternatives. This becomes 
important when you consider the EPA's recent announcement that 
California should continue to use ethanol as a fuel oxygenate to 
improve air quality. As more cities and States are faced with having to 
improve the quality of their air, I believe biofuels are a sensible 
alternative to existing oxygenates which are not as friendly to the 
environment or human health.
  If using biodiesel improves air quality, reduces our dependence on 
foreign oil and provides a value-added market for soybean and oilseed 
crops, then we should support legislation to further development of 
this renewable source of fuel. My bill is good for farmers, it's good 
for consumers and it's good for the environment. I ask unanimous 
consent that the text of the Biodiesel Renewable Fuels Act be printed 
in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                S. 1058

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

     SECTION 1. SHORT TITLE; ETC.

       (a) Short Title.--This Act may be cited as the ``Biodiesel 
     Renewable Fuels Act''.
       (b) Amendment of 1986 Code.--Except as otherwise expressly 
     provided, whenever in this Act an amendment or repeal is 
     expressed in terms of an amendment to or a repeal of a 
     section or other provision, the reference shall be considered 
     to be made to a section or other provision of the Internal 
     Revenue Code of 1986.

     SEC. 2. CREDIT FOR BIODIESEL USED AS FUEL.

       (a) In General.--Subpart D of part IV of subchapter A of 
     chapter 1 (relating to business related credits) is amended 
     by inserting after section 40 the following new section:

     ``SEC. 40A. BIODIESEL USED AS FUEL.

       ``(a) General Rule.--For purposes of section 38, the 
     biodiesel fuels credit determined under this section for the 
     taxable year is an amount equal to the biodiesel mixture 
     credit.
       ``(b) Definition of Biodiesel Mixture Credit.--For purposes 
     of this section--
       ``(1) Biodiesel mixture credit.--
       ``(A) In general.--The biodiesel mixture credit of any 
     taxpayer for any taxable year is the sum of the products of 
     the biodiesel mixture rate for each blend of qualified 
     biodiesel mixture and the number of gallons of the blend of 
     the taxpayer for the taxable year.
       ``(B) Biodiesel mixture rate.--For purposes of subparagraph 
     (A), the biodiesel mixture rate shall be--
       ``(i) the applicable amount for a B-1 blend,
       ``(ii) 3.0 cents for a B-2 blend, and
       ``(iii) 20.0 cents for a B-20 blend.
       ``(C) Blends.--For purposes of this paragraph--
       ``(i) B-1 blend.--The term `B-1 blend' means a qualified 
     biodiesel mixture if at least 0.5 percent but less than 2.0 
     percent of the mixture is biodiesel.
       ``(ii) B-2 blend.--The term `B-2 blend' means a qualified 
     biodiesel mixture if at least 2.0 percent but less than 20 
     percent of the mixture is biodiesel.
       ``(iii) B-20 blend.--The term `B-20 blend' means a 
     qualified biodiesel mixture if at least 20 percent of the 
     mixture is biodiesel.
       ``(D) Applicable amount.--For purposes of this paragraph, 
     the term `applicable amount' means, in the case of a B-1 
     blend, the amount equal to 1.5 cents multiplied by a fraction 
     the numerator of which is the percentage of biodiesel in the 
     B-1 blend and the denominator of which is 1 percent.
       ``(2) Qualified biodiesel mixture.--
       ``(A) In general.--The term `qualified biodiesel mixture' 
     means a mixture of diesel and biodiesel which--
       ``(i) is sold by the taxpayer producing such mixture to any 
     person for use as a fuel; or
       ``(ii) is used as a fuel by the taxpayer producing such 
     mixture.
       ``(B) Sale or use must be in trade or business, etc.--
     Biodiesel used in the production of a qualified biodiesel 
     mixture shall be taken into account--
       ``(i) only if the sale or use described in subparagraph (A) 
     is in a trade or business of the taxpayer; and
       ``(ii) for the taxable year in which such sale or use 
     occurs.
       ``(C) Casual off-farm production not eligible.--No credit 
     shall be allowed under this section with respect to any 
     casual off-farm production of a qualified biodiesel mixture.
       ``(c) Coordination With Exemption From Excise Tax.--The 
     amount of the credit determined under this section with 
     respect to any biodiesel shall, under regulations prescribed 
     by the Secretary, be properly reduced to take into account 
     any benefit provided with respect to such biodiesel solely by 
     reason of the application of section 4041(n) or section 
     4081(f).
       ``(d) Definitions and Special Rules.--For purposes of this 
     section--
       ``(1) Biodiesel defined.--
       ``(A) In general.--The term `biodiesel' means the monoalkyl 
     esters of long chain fatty acids derived from vegetable oils 
     for use in compressional-ignition (diesel) engines. Such term 
     shall include esters derived from vegetable oils from corn, 
     soybeans, sunflower seeds, cottonseeds, canola, crambe, 
     rapeseeds, safflowers, flaxseeds, and mustard seeds.
       ``(B) Registration requirements.--Such term shall only 
     include a biodiesel which meets the registration requirements 
     for fuels and fuel additives established by the Environmental 
     Protection Agency under section 211 of the Clean Air Act (42 
     U.S.C. 7545).
       ``(2) Biodiesel mixture not used as a fuel, etc.--
       ``(A) Imposition of tax.--If--
       ``(i) any credit was determined under this section with 
     respect to biodiesel used in the production of any qualified 
     biodiesel mixture, and
       ``(ii) any person--

       ``(I) separates the biodiesel from the mixture, or
       ``(II) without separation, uses the mixture other than as a 
     fuel,

     then there is hereby imposed on such person a tax equal to 
     the product of the biodiesel mixture rate applicable under 
     subsection (b)(1)(B) and the number of gallons of the 
     mixture.
       ``(B) Applicable laws.--All provisions of law, including 
     penalties, shall, insofar as applicable and not inconsistent 
     with this section, apply in respect of any tax imposed under 
     subparagraph (A) as if such tax were imposed by section 4081 
     and not by this chapter.
       ``(3) Pass-thru in the case of estates and trusts.--Under 
     regulations prescribed by the Secretary, rules similar to the 
     rules of subsection (d) of section 52 shall apply.
       ``(e) Election To Have Biodiesel Fuels Credit Not Apply.--
       ``(1) In general.--A taxpayer may elect to have this 
     section not apply for any taxable year.
       ``(2) Time for making election.--An election under 
     paragraph (1) for any taxable year may be made (or revoked) 
     at any time before the expiration of the 3-year period 
     beginning on the last date prescribed by law for filing the 
     return for such taxable year (determined without regard to 
     extensions).
       ``(3) Manner of making election.--An election under 
     paragraph (1) (or revocation thereof) shall be made in such 
     manner as the Secretary may by regulations prescribe.''
       (b) Credit Treated as Part of General Business Credit.--
     Section 38(b) is amended by striking ``plus'' at the end of 
     paragraph (14), by striking the period at the end of 
     paragraph (15) and inserting ``, plus'', and by adding at the 
     end the following:
       ``(16) the biodiesel fuels credit determined under section 
     40A.''
       (c) Conforming Amendments.--
       (1) Section 39(d) is amended by adding at the end the 
     following:
       ``(11) No carryback of biodiesel fuels credit before 
     january 1, 2003.--No portion of the unused business credit 
     for any taxable year which is attributable to the biodiesel 
     fuels credit determined under section 40A may be carried back 
     to a taxable year beginning before January 1, 2003.''
       (2) Section 196(c) is amended by striking ``and'' at the 
     end of paragraph (9), by striking the period at the end of 
     paragraph (10), and by adding at the end the following:
       ``(11) the biodiesel fuels credit determined under section 
     40A.''
       (3) The table of sections for subpart D of part IV of 
     subchapter A of chapter 1 is amended by adding after the item 
     relating to section 40 the following new item:

``Sec. 40A. Biodiesel used as fuel.''

       (d) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2001.

     SEC. 3. REDUCTION OF MOTOR FUEL EXCISE TAXES ON BIODIESEL 
                   MIXTURES.

       (a) In General.--Section 4081 (relating to manufacturers 
     tax on petroleum products) is amended by adding at the end 
     the following new subsection:
       ``(f) Biodiesel Mixtures.--Under regulations prescribed by 
     the Secretary--

[[Page 11013]]

       ``(1) In general.--In the case of the removal or entry of a 
     qualified biodiesel mixture, the rate of tax under subsection 
     (a) shall be the otherwise applicable rate reduced by the 
     biodiesel mixture rate (if any) applicable to the mixture.
       ``(2) Tax prior to mixing.--
       ``(A) In general.--In the case of the removal or entry of 
     diesel fuel for use in producing at the time of such removal 
     or entry a qualified biodiesel mixture, the rate of tax under 
     subsection (a) shall be the otherwise applicable rate, 
     reduced by the amount determined under subparagraph (B).
       ``(B) Applicable reduction.--For purposes of subparagraph 
     (A), the amount determined under this subparagraph is an 
     amount equal to the biodiesel mixture rate for the qualified 
     biodiesel mixture to be produced from the diesel fuel, 
     divided by a percentage equal to 100 percent minus the 
     percentage of biodiesel which will be in the mixture.
       ``(3) Definitions.--For purposes of this subsection, any 
     term used in this subsection which is also used in section 
     40A shall have the meaning given such term by section 40A.
       ``(4) Certain rules to apply.--Rules similar to the rules 
     of paragraphs (6) and (7) of subsection (c) shall apply for 
     purposes of this subsection.''.
       (b) Conforming Amendments.--
       (1) Section 4041 is amended by adding at the end the 
     following new subsection:
       ``(n) Biodiesel Mixtures.--Under regulations prescribed by 
     the Secretary, in the case of the sale or use of a qualified 
     biodiesel mixture (as defined in section 40A(b)(2)), the 
     rates under paragraphs (1) and (2) of subsection (a) shall be 
     the otherwise applicable rates, reduced by any applicable 
     biodiesel mixture rate (as defined in section 
     40A(b)(1)(B)).''.
       (2) Section 6427 is amended by redesignating subsection (p) 
     as subsection (q) and by inserting after subsection (o) the 
     following new subsection:
       ``(p) Biodiesel Mixtures.--Except as provided in subsection 
     (k), if any diesel fuel on which tax was imposed by section 
     4081 at a rate not determined under section 4081(f) is used 
     by any person in producing a qualified biodiesel mixture (as 
     defined in section 40A(b)(2)) which is sold or used in such 
     person's trade or business, the Secretary shall pay (without 
     interest) to such person an amount equal to the per gallon 
     applicable biodiesel mixture rate (as defined in section 
     40A(b)(1)(B)) with respect to such fuel.''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect on January 1, 2002.

     SEC. 4. HIGHWAY TRUST FUND HELD HARMLESS.

       There are hereby transferred (from time to time) from the 
     funds of the Commodity Credit Corporation amounts equivalent 
     to the reductions that would occur (but for this section) in 
     the receipts of the Highway Trust Fund by reason of the 
     amendments made by this Act. Such transfers shall be made on 
     the basis of estimates made by the Secretary of the Treasury 
     and adjustments shall be made to subsequent transfers to 
     reflect any errors in the estimates.

  Mr. DAYTON. Mr. President, I rise today to introduce, along with my 
distinguished colleague Senator Hutchinson from Arkansas, legislation 
that will increase the use of biodiesel fuel throughout our country.
  Biodiesel is a natural additive to diesel fuel, much as ethanol is to 
regular gasoline. It is also a fuel in its own right. Biodiesel is made 
from soybeans and other vegetable oils. Its use as a 2-percent blend 
with diesel fuel, and in some instances as high as a 20-percent blend, 
will increase the demand for these commodities, boost their market 
price, and reduce the toxic carbon emissions from trucks and other 
vehicles across this Nation, all at no additional cost to American 
taxpayers.
  Our legislation would provide a 3-cent-per-gallon credit to diesel 
fuel suppliers using 2-percent biodiesel and up to a 20-cent-per-gallon 
credit for blends containing 20-percent biodiesel.
  As soybean prices rise then due to the increased usage, Federal 
spending on the U.S. Department of Agriculture Marketing Assistance 
Loan Program will be reduced accordingly, resulting in substantial 
savings for the American taxpayers.
  A credit such as this would otherwise reduce the revenues that would 
be going into the highway trust fund. Given the deterioration of many 
of our Nation's highways, that would be unwise. Thus, this legislation 
provides for the Commodity Credit Corporation to reimburse the highway 
trust fund for its forgone revenues.
  Our current energy crisis is also an opportunity for our country. I 
currently have a van driving around the State of Minnesota that uses 
85-percent ethanol fuel with no difficulties whatsoever. These 
agricultural fuels are not just possible tomorrow, they are practical 
today. We just need to help them become financially competitive, until 
these industries can reach the volume of production necessary to 
compete with the giant oil industry.
  In conclusion, this legislation is an important step in several right 
directions--toward less foreign oil dependency, toward higher 
agricultural commodity prices for American farmers, toward lower 
taxpayer costs for our struggling farm economy, and toward a cleaner 
air quality for us all. I respectfully urge my colleagues to support 
this important legislation.
                                 ______
                                 
      By Mr. BAYH:
  S. 1059. A bill to amend the Internal Revenue Code of 1986 to provide 
that certain postsecondary educational benefits provided by an employer 
to children of employees shall be excludable from gross income as a 
scholarship; to the Committee on Finance.
                                 ______
                                 
      By Mr. BAYH:
  S. 1060. A bill to amend the Internal Revenue Code of 1986 to provide 
that certain postsecondary educational benefits provided by an employer 
to children of employees shall be excludable from gross income as part 
of an educational assistance program; to the Committee on Finance.
  Mr. BAYH. Mr. President, I am pleased to introduce legislation today 
that will help thousands of American workers with the financial burden 
associated with sending a daughter or son to college. In this climate 
of labor shortages, U.S. companies are looking for innovative ways to 
maintain and attract a dedicated and qualified workforce. Some 
companies have creatively turned to providing college scholarships for 
their employees' children. My legislation would allow employees to 
deduct these scholarships from their gross income. Under current law, 
an employee generally is not taxed on post-secondary education 
assistance provided by an employer for the benefit of the employee. My 
bill would extend this treatment to employer-provided education 
assistance for the employees' children, up to $2,000 per child.
  As many of my colleagues know, employer-provided education assistance 
is considered an integral tool in keeping America's workforce well 
trained and equipped to deal with the changing face of the New Economy. 
Current law not only allows companies to keep an up-to-date labor pool, 
but also allows many workers to move from low-wage, entry level 
positions up the economic ladder of success. Extending tax-free 
treatment to the children of employees not only will help working 
families, but will contribute to our Nation's competitiveness in an 
increasingly dynamic global economy.
  My legislation is very simple. It allows employees whose companies 
provide educational scholarships for employees' children to exclude up 
to $2000 from gross income per child. An employee may not exclude more 
than $5,250 from gross income for employer education assistance. This 
is the limit established under Section 127(a)(2) of the Internal 
Revenue Code for employer education assistance. In essence, there would 
be ``family cap.'' Workers could deduct a $2,000 scholarship for their 
child and could also exclude up to $3,250 of educational benefits for 
themselves, however, the combined amounts could not exceed $5,250.
  In today's economy, American companies are no longer looking purely 
for a high-school diploma, but require that their workers have some 
sort of post-secondary education or training. Many working families 
struggle in providing this basic start which will help their children 
get well-paying jobs.
  This piece of legislation is also a modest proposal. The Joint 
Committee on Taxation has scored this provision at $231 million over 10 
years. I look forward to working to make sure that this provision is 
fully offset in a responsible manner. I hope my colleagues will join me 
to help ease the burden of American families with the soaring costs of 
higher education.
                                 ______
                                 
      By Mr. McCONNELL:
  S. 1061. A bill to authorize the Secretary of the Interior to acquire 
Fern Lake and the surrounding watershed in the States of Kentucky and 
Tennessee

[[Page 11014]]

for addition to Cumberland Gap National Historic Park, and for other 
purposes; to the Committee on Energy and Natural Resources.
  Mr. McCONNELL. Mr. President, last month the Bush Administration 
unveiled a new national energy strategy that strikes an important 
balance between the twin priorities of production and conservation. 
Today I am proud to introduce legislation with Congressman Hal Rogers 
that takes a step toward fulfilling the conservation side of that 
energy equation in my home state of Kentucky.
  Our bill, the Fern Lake Conservation and Recreation Act of 2001, will 
authorize the Cumberland Gap National Historical Park to purchase Fern 
Lake, a natural landmark on the Kentucky-Tennessee border that has 
served as the municipal water supply for Middlesboro, KY since the lake 
was constructed in 1893. This bill will protect the lake as a clean and 
safe source of rural water for Kentuckians, enhance the scenic and 
recreational value of Cumberland Gap National Historical Park, and 
increase tourism opportunities in the three states that border the 
Park--Kentucky, Tennessee, and Virginia.
  For those who may be less familiar with this part of the country, 
Fern Lake is a beautiful and pristine body of water set against the 
backdrop of the Appalachian Mountains. The 150-acre lake presently sits 
adjacent to the Park and is part of the viewshed from Pinnacle 
Overlook, which is one of the Park's most popular attractions. It is 
said that the glassy surface of Fern Lake is so clear that you can see 
fish swimming 10 feet below the surface. Perhaps that is one of the 
reasons why Middlesboro Mayor Ben Hickman describes his town's water 
supply as one of the best in the United States.
  With a lake of such natural beauty and exceptional water quality, it 
is no wonder that the citizens and community leaders want to protect 
it. Although Fern Lake has been privately owned for most of its 
existence, it has been for sale since July 2000, and there is concern 
in Middlesboro that a new owner may not share the same interests 
regarding the lake as those embraced by the community. That is why a 
growing chorus of community leaders and citizens have called for the 
Cumberland Gap National Historical Park to purchase Fern Lake. This 
solution would guarantee management of this wonderful resource 
consistent with the needs of the community.
  This legislation is needed because currently the Park is prohibited 
by law from expanding its boundaries by purchasing new land with 
appropriated funds. Our bill, therefore, authorizes the Park to use 
appropriated funds, if necessary, to purchase Fern Lake (and up to 
4,500 acres of the surrounding watershed) and to manage the lake for 
public recreational uses. This bill also requires the Park to maintain 
Fern Lake as a source of clean drinking water, authorizes the Park to 
sell water to the city of Middlesboro, and permits the proceeds of the 
water sales to be spent by the Secretary of the Interior without 
further appropriation. And because the scenic and recreational values 
of Fern Lake will benefit the tourism industry in all three adjacent 
states--Kentucky, Tennessee, and Virginia--the legislation directs the 
Secretary of the Interior to consult with appropriate officials in 
these states to determine the best way to manage the municipal water 
supply and to promote the increased tourism opportunities associated 
with Park ownership of Fern Lake.
  This bill is a small but important example of the type of targeted 
conservation measures that are essential to making a national energy 
policy work for all Americans. This is not the conservation of 
environmental extremism that seeks to divide communities, vilify 
opponents, or present unworkable approaches in the name of political 
opportunism. Rather, this is conservation that builds upon community 
consensus. It is common sense conservation that seeks environmental 
solutions that will enhance rather than disturb local industries such 
as tourism, which have been so vital to economically depressed areas 
such as southeastern Kentucky. And finally, this is conservation that 
is careful to consider, and where necessary, to protect, the property 
rights of affected landowners. This bill requires that the Park acquire 
land from willing sellers only, and the National Park Service has 
assured us that it has no authority to place land-use restrictions on 
private land until the land is actually acquired by the Park.
  Targeted and consensus-driven conservation measures such as this one 
are not always easy to craft, but they are always worth the effort. 
This bill is proof that environmental protection and economic 
development need not be at odds, and that there are a number of 
responsible and practical conservation opportunities that can bring 
communities together rather than tear them apart. Indeed, if this 
simple formula for finding consensus conservation opportunities--broad 
community support, local employment, and private property protections--
was replicated in all 50 States, we could make actual and noticeable 
strides as a nation toward protecting and promoting our natural 
treasures.
  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. 1061

       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 ``Fern Lake Conservation and 
     Recreation Act of 2001''.

     SEC. 2. FINDINGS AND PURPOSES.

       (a) Findings.--The Congress finds the following:
       (1) Fern Lake and its surrounding watershed in Bell County, 
     Kentucky, and Claiborne County, Tennessee, is within the 
     potential boundaries of Cumberland Gap National Historical 
     Park as originally authorized by the Act of June 11, 1940 (54 
     Stat 262; 16 U.S.C. 261 et seq.).
       (2) The acquisition of Fern Lake and its surrounding 
     watershed and its inclusion in Cumberland Gap National 
     Historical Park would protect the vista from Pinnacle 
     Overlook, which is one of the park's most valuable scenic 
     resources and most popular attractions, and enhance 
     recreational opportunities at the park.
       (3) Fern Lake is the water supply source for the City of 
     Middlesboro, Kentucky, and environs.
       (4) The 4500-acre Fern Lake watershed is privately owned, 
     and the 150-acre lake and part of the watershed are currently 
     for sale, but the Secretary of the Interior is precluded by 
     the first section of the Act of June 11, 1940 (16 U.S.C. 
     261), from using appropriated funds to acquire the lands.
       (b) Purposes.--The purposes of the Act are--
       (1) to authorize the Secretary of the Interior to use 
     appropriated funds if necessary, in addition to other 
     acquisition methods, to acquire from willing sellers Fern 
     Lake and its surrounding watershed in order to protect scenic 
     and natural resources and enhance recreational opportunities 
     at Cumberland Gap National Historical Park; and
       (2) to allow the continued supply of safe, clean, drinking 
     water from Fern Lake to the City of Middlesboro, Kentucky, 
     and environs.

     SEC. 3. LAND ACQUISITION, FERN LAKE, CUMBERLAND GAP NATIONAL 
                   HISTORICAL PARK.

       (a) Definitions.--In this section:
       (1) Fern lake.--The term ``Fern Lake'' means Fern Lake 
     located in Bell County, Kentucky, and Claiborne County, 
     Tennessee.
       (2) Land.--The term ``land'' means land, water, interests 
     in land, and any improvements on the land.
       (3) Park.--The term ``park'' means Cumberland Gap National 
     Historical Park, as authorized and established by the Act of 
     June 11, 1940 (54 Stat 262; 16 U.S.C. 261 et seq.).
       (4) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior, acting through the Director of the National 
     Park Service.
       (b) Acquisition Authorized.--The Secretary may acquire for 
     addition to the park lands consisting of approximately 4,500 
     acres and containing Fern Lake and its surrounding watershed, 
     as generally depicted on the map entitled ``Fern Lake 
     Watershed Boundary Addition, Cumberland Gap National 
     Historical Park'', numbered 380/80,004, and dated May 2001. 
     The map shall be on file in the appropriate offices of the 
     National Park Service.
       (c) Authorized Acquisition Methods.--
       (1) In general.--Notwithstanding the Act of June 11, 1940 
     (16 U.S.C. 261 et seq.), the Secretary may acquire lands 
     described in subsection (b) by donation, purchase with 
     donated or appropriated funds, or exchange. However, the 
     lands may be acquired only with the consent of the owner.

[[Page 11015]]

       (2) Easements.--At the discretion of the Secretary, the 
     Secretary may acquire land described in subsection (b) that 
     is subject to an easement for the continued operation of 
     providing the water supply for the City of Middlesboro, 
     Kentucky, and environs.
       (d) Boundary Adjustment and Administration.--Upon the 
     acquisition of land under this section, the Secretary shall 
     revise the boundaries of the park to include the land in the 
     park. Subject to subsection (e), the Secretary shall 
     administer the acquired lands as part of the park in 
     accordance with the laws and regulations applicable to the 
     park.
       (e) Special Issues Related to Fern Lake.--
       (1) Protection of water quality.--The Secretary shall 
     manage public recreational use of Fern Lake, if acquired by 
     the Secretary, in a manner that is consistent with the 
     protection of the lake as a source of safe, clean, drinking 
     water.
       (2) Sale of water.--In the event the Secretary's 
     acquisition of land includes the water supply of Fern Lake, 
     the Secretary may enter into contracts to facilitate the sale 
     and distribution of water from the lake for the municipal 
     water supply for the City of Middlesboro, Kentucky, and 
     environs. The Secretary shall ensure that the terms and 
     conditions of any such contract is consistent with National 
     Park Service policies for the protection of park resources. 
     Proceeds from the sale of the water shall be available for 
     expenditure by the Secretary at the park without further 
     appropriation.
       (3) Consultation requirements.--In order to better manage 
     Fern Lake and its surrounding watershed, if acquired by the 
     Secretary, in a manner that will facilitate the provision of 
     water for municipal needs as well as the establishment and 
     promotion of new recreational opportunities made possible by 
     the addition of Fern Lake to the park, the Secretary shall 
     consult with--
       (A) appropriate officials in the States of Kentucky, 
     Tennessee, and Virginia and political subdivisions of these 
     States;
       (B) organizations involved in promoting tourism in these 
     States; and
       (C) other interested parties.
                                 ______
                                 
      By Mr. DURBIN (for himself, Ms. Collins, Mr. Biden, Mrs. Clinton, 
        Mr. Feingold, Mrs. Feinstein, Mr. Johnson, and Mr. Inouye):
  S. 1062. A bill to amend the Public Health Service Act to promote 
organ donation and facilitate interstate linkage and 24-hour access to 
State donor registries, and for other purposes; to the Committee on 
Health, Education, Labor, and Pensions.
  Mr. DURBIN. Mr. President, this year the waiting list for organ 
transplants among Americans stands at more than 75,000. I rise to urge 
all Senators, and all Americans to become organ donors. I rise to 
introduce legislation to make it easier for individuals to donate and 
make it simpler to identify the decedents's donation wishes. I am 
pleased that Senators Collins, Biden, Clinton, Feingold, Feinstein, 
Johnson, and Inouye join me in this effort.
  Access to organ transplantation remains limited by the shortage of 
donated organs. Each day, an average of 17 people on the waiting list 
will die. And the waiting list is growing. In fact, since 1990 the 
number of men, women and children awaiting life-saving transplants has 
grown by at least 10 percent easy year. We need to move expeditiously 
to reduce these deaths due to the scarcity of willing organ donors. 
Every 14 minutes we do not act, another name is added to the national 
transplant waiting list.
  Over the last several years, I have worked with many of my colleagues 
on a variety of initiatives to increase organ donation. In 1996, I 
authored legislation to include an organ donation card with every 
Federal income tax refund mailed. More than 70 million donor cards were 
mailed, the largest distribution in history. In 1997, I authored a 
provision in the Labor, Health and Human Services, and Education 
Appropriation bill that authorized a study of hospital best practices 
for increasing organ donation. More recently, I launched a campaign 
known as ``Give Thanks, Give Life'' with the National Football League 
and a large coalition of advocacy organizations to promote family 
discussions over Thanksgiving of family members' desire to become organ 
donors.
  But we need to do more. Major barriers to donation still exist. A 
recent analysis by the Lewin Group, Inc., found low rates of family 
consent to donation. In addition, there are many missed opportunities 
in the process of identifying and referring all potential donors to 
procurement organizations so that families may be approached. A 1996 
study of potential organ donors in hospitals found that in nearly a 
third of all cases, potential donors were not identified or no request 
was made to the family.
  Today I am introducing a comprehensive proposal to address these 
obstacles, including a number of new initiatives. The DONATE Act: 1. 
Establishes a national organ and tissue donor registry resource center 
at the Department of Health and Human Services; 2. Authorizes grants to 
States to support the development, enhancement, expansion and 
evaluation of statewide organ and tissue donor registries; 3. Funds 
additional research to learn more about effective strategies that 
increase donation rates; 4. Provides financial assistance to donors for 
travel and subsistence expenses incurred toward making living donations 
of their organs; 5. Expands Federal efforts to educate the public about 
organ donation and improve outreach activities; 6. Provides grants to 
hospitals and organ procurement organizations to fund organ 
coordinators; and 7. Directs the Secretary of the Treasury to strike a 
bronze medal to commemorate organ donors and their families.
  Organ and tissue donor registries have the potential to greatly 
improve donation rates. Registries provide medical and/or procurement 
personnel easy access to the donation wishes of brain-dead patients. By 
indicating the potential donors wishes to the family, a registry 
documentation can aid in securing next of kin consent. Despite the fact 
that 85 percent of Americans support organ donation for transplants, 
studies indicate that only about 50 percent of families consent to 
donation. Well-designed databases can improve coordination between 
hospitals, physicians, organ procurement organizations and families. 
Registries can also assist in evaluating education and outreach efforts 
by providing information about registrant demographics and audience-
specific effectiveness of awareness campaigns. Yet currently only about 
a dozen States operate mature, centralized organ and tissue donor 
registries.
  I am proud that the State of Illinois was one of the first and is 
currently the largest such system. In Illinois, individuals can 
indicate their willingness to donate by signing their drivers license. 
Drivers' license applicants are also asked if they wish to have their 
name listed on the confidential statewide registry. In addition to 
signing up at a driver services facility, persons can join the registry 
by calling an eight hundred number or electronically via the web. More 
than 3 million Illinoisans have already joined and 100,000 more sign up 
each month. Today, participation in the Illinois Donor Registry is 39 
percent statewide, an increase of 77 percent since 1993. In addition, 
about one fifth of all facilities are reporting participation rates at 
or above 50 percent. Most importantly, organ donation has risen 40 
percent since 1993 and the Regional Organ Bank of Illinois has led the 
nation in the number of organs recovered for transplantation since 
1994.
  But unfortunately Illinois is the exception and not the rule. Most 
States do not have programs and gaps in knowledge exist. In fact, no 
one kept track of which States operate organ donor registries until 
recently. We have little information about what works best when 
developing registries. Guidance for States about the basic components 
of effective systems such as the core functions and content, legal and 
ethical standards, privacy protections and data exchange protocols, is 
scarce.
  And in addition to the fact that most States do not operate 
registries, among those who do, currently no mechanism exists to share 
information between these registries. So if a Illinoisan dies in 
Wisconsin, law enforcement or hospital officials in Wisconsin have no 
easy way of knowing of the victims intent to donate. To be effective, 
registries need to be accessible to the proper authorities around the 
clock without regard for State boundaries. To be effective, registries 
also need to

[[Page 11016]]

function as an advance directive, ensuring that the donors wishes are 
honored.
  The DONATE Act both funds State registry development and creates the 
technical expertise States need to do so. The bill establishes a 
National Organ and Tissue Donation Resource Center, informed by a task 
force of national experts, to develop registry guidelines for States 
based on best practices. The Center would maintain a donor registry 
clearinghouse, including a web site, to collect, synthesize, and 
distribute information about what works. The proposal also requires 
that a mechanism be established to link State registries and to provide 
around-the-clock access to information. To help ensure that registry 
development is based on evidence of effectiveness and best practices, 
and to help us understand better how to utilize the registry tool to 
increase donations, the DONATE Act asks an advisory task force to 
examine state registries and make recommendations to Congress about the 
states of such systems and ways to develop linkages between state 
registries.
  Public education is equally as important as developing better 
technical tools and programs to increase donation if we are to do a 
better job of matching the number of donors to people in need of a 
transplant. The DONATE Act launches a national effort to raise public 
awareness about the importance of organ donation and funds research to 
find better ways to improve donation rates. The bill authorizes State 
grants for innovative organ donor awareness and outreach initiatives 
and programs aimed at increasing donation.
  A number of additional innovative initiatives are included in this 
bill. The DONATE Act would directly assist living donors, providing 
financial assistance to offset travel, subsistence and other expenses 
incurred toward making living donations of their organs. Similar 
provisions recently cleared the House of Representatives by more than 
400 votes. The DONATE Act includes the House passed bill, with a number 
of improvements. For example, the Act does not restrict such assistance 
to artificial residency requirements and it does not limit assistance 
only to those who donate organs to low income recipients.
  The DONATE Act also provides grants to hospitals and organ 
procurement organizations to fund staff positions for organ 
coordinators. These in-house organ coordinators would be responsible 
for coordinating organ donation and recovery at a hospital or a group 
of hospitals. Research has shown that these types of initiatives can 
have dramatic results. A four-year retrospective study of a large 
public hospital in Houston that implemented a coordinator program 
resulted in a 64 percent increase in the consent rate along with a 94 
percent increase in the number of organ donors.
  Finally, the DONATE Act incorporates a valuable initiative developed 
by Senator Bill Frist to present donors or the family of a donor with a 
Congressional medal recognizing their gift of life. The bronze medal is 
just one small, meaningful way we can acknowledge the important act of 
donating to save another person's life.
  A great deal of input from experts, and from my colleagues as well, 
contributed to this legislation. All of these important provisions come 
with the strong support and input of many groups whose mission it is to 
help save lives by increasing organ donation, including the American 
Liver Foundation, the American Society of Transplantation and the 
American Society of Transplant Surgeons. I strongly believe that this 
type of concrete investment and commitment from the Federal government 
is overdue and will make a real difference. And in this case a real 
difference is someone's life.
  I urge my colleagues to join me in this effort to wipe out the 
waiting list for transplants. I urge you all to cosponsor the DONATE 
Act and move expeditiously to pass this legislation.
                                 ______
                                 
      By Mr. BOND (for himself, Mr. Reid, Mr. Smith of New Hampshire, 
        Mr. Kerry, Mr. Warner, Mr. Chafee, Mr. Wyden, Mr. Cleland, Mr. 
        Ensign, and Ms. Landrieu):
  S. 1064. A bill to amend the Comprehensive Environmental Response, 
Compensation, and Liability Act of 1980 to provide certain relief from 
liability for small businesses; to the Committee on Environment and 
Public Works.
  Mr. BOND. Mr. President, it is a pleasure for me to introduce the 
Small Business Liability Protection Act of 2001. This bill will provide 
a lifeline for the thousands of small business owners threatened by 
lawsuits and litigation under the broken Superfund liability system. 
Joining me in introducing this legislation are Senators Reid, Smith, 
Kerry, Warner, Chafee, Cleland, Landrieu, Ensign, and Wyden.
  The bill is simple. All this bill does is protect those who 
contributed very small amounts of waste, or waste no different than 
common household garbage, to a Superfund site. The bill will also speed 
up the process for handling those little fish with a limited ability to 
pay towards a Superfund site's cleanup.
  The exact same version of this bill passed the House unanimously in 
May and I am proud to have similar bipartisan support for this Senate 
version. We have members from both the Environment Committee and the 
Small Business Committee supporting this bill at introduction and I 
encourage all my colleagues to join our effort.
  My bill will not let polluters off the hook. This common-sense 
proposal will make the Superfund program a little more reasonable and 
workable. With this legislation, we can begin to provide some relief to 
small business owners who are held hostage by potential Superfund 
liability.
  For years now, members from both sides of the aisle have said that 
the Superfund program is broken, it doesn't work, it must be reformed. 
Unfortunately we haven't gotten past the rhetoric to fix the problem. 
Instead of making changes that will produce results that are better for 
the taxpayers, better for the environment, and more efficient for 
everyone involved--government agencies, Federal bureaucrats, and 
Congress have protected this troubled and inefficient program from 
meaning reform.
  As Washington has played politics with the Superfund program, 
innocent Main Street small business owners across the nation, the 
engine of our economy, continue to be unfairly pulled into Superfund's 
legal quagmire. We now have the opportunity to put all of that behind 
us and move forward with bipartisan, common-sense reform.
  Let's put a human face on this: recently, just across the Missouri 
border--in Quincy, Illinois--160 small business owners were asked to 
pay the EPA more than $3 million for garbage legally hauled to a dump 
more than 20 years ago. The situation in Quincy is just one example of 
the very real, ongoing Superfund legal threat to small business owners 
across the nation.
  We all know that Superfund was created to clean up the Nation's most-
hazardous waste sites. Superfund was not created to have small business 
owners sued for simply throwing out their trash! These small business 
owners are faced with so many challenges already, that the thousands of 
dollars in penalties and lawsuits leave them with no choice but to 
mortgage their businesses, their employees and their future to pay for 
the bills of a broken government program.
  How many times will we tell ourselves that this unacceptable 
situation must be fixed before we act? Small business owners literally 
cannot afford to wait around while we delay action on the common-sense 
fixes required to protect them and our environment.
  Is this legislation everything I would like to see. No. But this bill 
does move us in the direction we need to go to ensure cleanup, 
fairness, and progress in reforming the Superfund program.
  In recognition of our small businesses around the country, I 
introduce this bill and look forward to ensuring speedy adoption of 
this long overdue legislation.




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