[Congressional Record (Bound Edition), Volume 148 (2002), Part 17]
[Senate]
[Pages 22894-22906]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 4965. Mr. REID (for Mr. Hatch (for himself and Mr. Leahy)) 
proposed an amendment to the bill S. 754, to enhance competition for 
prescription drugs by increasing the ability of the Department of 
Justice and Federal Trade Commission to enforce existing antitrust laws 
regarding brand name drugs and generic drugs; as follows:

       On page 11, line 17, strike ``or''.
       On page 11, line 18, strike the period and insert ``; or''.
       On page 11, after line 18, insert the following:
       (D) packaging and labeling contracts.
       On page 13, line 17, strike all beginning with 
     ``Equitable'' through line 23.
                                 ______
                                 
  SA 4966. Mr. REID (for Mr. Rockefeller (for himself, Mr. Hollings, 
Mr. McCain, and Mrs. Hutchison)) proposed an amendment to the bill S. 
2951, to authorize appropriations for the Federal Aviation 
Administration, and for other purposes; as follows:


[[Page 22895]]

       On page 3, beginning in line 21, strike ``Transportation 
     and'' and insert ``Transportation,''.
       On page 3, line 23, strike ``Infrastructure.'' and insert 
     ``Infrastructure, and the House of Representatives Committee 
     on Science.''.
       On page 4, strike lines 18 through 23, and insert the 
     following:
       The Federal Aviation Administration Administrator shall 
     continue the program to consider awards to nonprofit concrete 
     and asphalt pavement research foundations to improve the 
     design, construction, rehabilitation, and repair of concrete 
     and asphalt airfield pavements to aid in the development of 
     safer, more cost-effective, and more durable airfield 
     pavements.
       On page 5, beginning in line 22, strike ``Transportation 
     and'' and insert ``Transportation,''.
       On page 5, line 24, strike ``Infrastructure.'' and insert 
     ``Infrastructure, and the House of Representatives Committee 
     on Science.''.
       On page 8, strike lines 9 through 13, and insert the 
     following:
       (b) Report.--A report containing the results of the 
     assessment shall be provided to the Senate Committee on 
     Commerce, Science, and Transportation, the House of 
     Representatives Committee on Transportation and 
     Infrastructure, and the House of Representatives Committee on 
     Science not later than 1 year after the date of enactment of 
     this Act.
                                 ______
                                 
  SA 4967. Mr. REID (for Mr. Baucus (for himself and Mr. Grassley)) 
proposed an amendment to the bill H.R. 4070, to amend the Social 
Security Act and the Internal Revenue Code of 1986 to provide 
additional safeguards for Social Security and Supplemental Security 
Income beneficiaries with representative payees, to enhance program 
protections, and for other purposes; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE AND TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Social 
     Security Program Protection Act of 2002''.
       (b) Table of Contents.--The table of contents is as 
     follows:

Sec. 1. Short title and table of contents.

                  TITLE I--PROTECTION OF BENEFICIARIES

                   Subtitle A--Representative Payees

Sec. 101. Authority to reissue benefits misused by organizational 
              representative payees.
Sec. 102. Oversight of representative payees.
Sec. 103. Disqualification from service as representative payee of 
              persons convicted of offenses resulting in imprisonment 
              for more than 1 year, of persons fleeing prosecution, 
              custody, or confinement, and of persons violating 
              probation or parole.
Sec. 104. Fee forfeiture in case of benefit misuse by representative 
              payees.
Sec. 105. Liability of representative payees for misused benefits.
Sec. 106. Authority to redirect delivery of benefit payments when a 
              representative payee fails to provide required 
              accounting.

                        Subtitle B--Enforcement

Sec. 111. Civil monetary penalty authority with respect to wrongful 
              conversions by representative payees.

                     TITLE II--PROGRAM PROTECTIONS

Sec. 201. Issuance by Commissioner of Social Security of receipts to 
              acknowledge submission of reports of changes in work or 
              earnings status of disabled beneficiaries.
Sec. 202. Denial of title II benefits to persons fleeing prosecution, 
              custody, or confinement, and to persons violating 
              probation or parole.
Sec. 203. Requirements relating to offers to provide for a fee a 
              product or service available without charge from the 
              Social Security Administration.
Sec. 204. Refusal to recognize certain individuals as claimant 
              representatives.
Sec. 205. Penalty for corrupt or forcible interference with 
              administration of Social Security Act.
Sec. 206. Use of symbols, emblems, or names in reference to social 
              security or medicare.
Sec. 207. Disqualification from payment during trial work period upon 
              conviction of fraudulent concealment of work activity.

          TITLE III--ATTORNEY FEE PAYMENT SYSTEM IMPROVEMENTS

Sec. 301. Cap on attorney assessments.

            TITLE IV--MISCELLANEOUS AND TECHNICAL AMENDMENTS

    Subtitle A--Amendments Relating to the Ticket to Work and Work 
                   Incentives Improvement Act of 1999

Sec. 401. Application of demonstration authority sunset date to new 
              projects.
Sec. 402. Expansion of waiver authority available in connection with 
              demonstration projects providing for reductions in 
              disability insurance benefits based on earnings.
Sec. 403. Funding of demonstration projects provided for reductions in 
              disability insurance benefits based on earnings.
Sec. 404. Availability of Federal and State work incentive services to 
              additional individuals.
Sec. 405. Technical amendment clarifying treatment for certain purposes 
              of individual work plans under the Ticket to Work and 
              Self-Sufficiency Program.

                  Subtitle B--Miscellaneous Amendments

Sec. 411. Elimination of transcript requirement in remand cases fully 
              favorable to the claimant.
Sec. 412. Nonpayment of benefits upon removal from the United States.
Sec. 413. Reinstatement of certain reporting requirements.
Sec. 414. Clarification of definitions regarding certain survivor 
              benefits.
Sec. 415. Clarification respecting the FICA and SECA tax exemptions for 
              an individual whose earnings are subject to the laws of a 
              totalization agreement partner.
Sec. 416. Coverage under divided retirement system for public employees 
              in Kentucky.
Sec. 417. Compensation for the Social Security Advisory Board.
Sec. 418. 60-month period of employment requirement for application of 
              government pension offset exemption.

                    Subtitle C--Technical Amendments

Sec. 421. Technical correction relating to responsible agency head.
Sec. 422. Technical correction relating to retirement benefits of 
              ministers.
Sec. 423. Technical corrections relating to domestic employment.
Sec. 424. Technical corrections of outdated references.
Sec. 425. Technical correction respecting self-employment income in 
              community property States.
Sec. 426. Technical amendments relating to the Railroad Retirement and 
              Survivors Improvement Act of 2001.

                  TITLE I--PROTECTION OF BENEFICIARIES

                   Subtitle A--Representative Payees

     SEC. 101. AUTHORITY TO REISSUE BENEFITS MISUSED BY 
                   ORGANIZATIONAL REPRESENTATIVE PAYEES.

       (a) Title II Amendments.--
       (1) Reissuance of benefits.--Section 205(j)(5) of the 
     Social Security Act (42 U.S.C. 405(j)(5)) is amended by 
     inserting after the first sentence the following new 
     sentences: ``In any case in which a representative payee 
     that--
       ``(A) is not an individual (regardless of whether it is a 
     `qualified organization' within the meaning of paragraph 
     (4)(B)); or
       ``(B) is an individual who, for any month during a period 
     when misuse occurs, serves 15 or more individuals who are 
     beneficiaries under this title, title VIII, title XVI, or any 
     combination of such titles;

     misuses all or part of an individual's benefit paid to such 
     representative payee, the Commissioner of Social Security 
     shall certify for payment to the beneficiary or the 
     beneficiary's alternative representative payee an amount 
     equal to the amount of such benefit so misused. The 
     provisions of this paragraph are subject to the limitations 
     of paragraph (7)(B).''.
       (2) Misuse of benefits defined.--Section 205(j) of such Act 
     (42 U.S.C. 405(j)) is amended by adding at the end the 
     following new paragraph:
       ``(8) For purposes of this subsection, misuse of benefits 
     by a representative payee occurs in any case in which the 
     representative payee receives payment under this title for 
     the use and benefit of another person and converts such 
     payment, or any part thereof, to a use other than for the use 
     and benefit of such other person. The Commissioner of Social 
     Security may prescribe by regulation the meaning of the term 
     `use and benefit' for purposes of this paragraph.''.
       (b) Title VIII Amendments.--
       (1) Reissuance of benefits.--Section 807(i) of the Social 
     Security Act (42 U.S.C. 1007(i)) is amended by inserting 
     after the first sentence the following new sentences: ``In 
     any case in which a representative payee that--
       ``(1) is not an individual; or
       ``(2) is an individual who, for any month during a period 
     when misuse occurs, serves 15 or more individuals who are 
     beneficiaries under this title, title II, title XVI, or any 
     combination of such titles;

     misuses all or part of an individual's benefit paid to such 
     representative payee, the Commissioner of Social Security 
     shall pay to the beneficiary or the beneficiary's alternative 
     representative payee an amount equal to the amount of such 
     benefit so misused. The provisions of this paragraph are 
     subject to the limitations of subsection (l)(2).''.

[[Page 22896]]

       (2) Misuse of benefits defined.--Section 807 of such Act 
     (42 U.S.C. 1007) is amended by adding at the end the 
     following new subsection:
       ``(j) Misuse of Benefits.--For purposes of this title, 
     misuse of benefits by a representative payee occurs in any 
     case in which the representative payee receives payment under 
     this title for the use and benefit of another qualified 
     individual under this title and converts such payment, or any 
     part thereof, to a use other than for the use and benefit of 
     such other qualified individual. The Commissioner of Social 
     Security may prescribe by regulation the meaning of the term 
     `use and benefit' for purposes of this subsection.''.
       (3) Technical amendment.--Section 807(a) of such Act (42 
     U.S.C. 1007(a)) is amended, in the first sentence, by 
     striking ``for his or her benefit'' and inserting ``for his 
     or her use and benefit''.
       (c) Title XVI Amendments.--
       (1) Reissuance of benefits.--Section 1631(a)(2)(E) of such 
     Act (42 U.S.C. 1383(a)(2)(E)) is amended by inserting after 
     the first sentence the following new sentences: ``In any case 
     in which a representative payee that--
       ``(i) is not an individual (regardless of whether it is a 
     `qualified organization' within the meaning of subparagraph 
     (D)(ii)); or
       ``(ii) is an individual who, for any month during a period 
     when misuse occurs, serves 15 or more individuals who are 
     beneficiaries under this title, title II, title VIII, or any 
     combination of such titles;

     misuses all or part of an individual's benefit paid to the 
     representative payee, the Commissioner of Social Security 
     shall pay to the beneficiary or the beneficiary's alternative 
     representative payee an amount equal to the amount of the 
     benefit so misused. The provisions of this subparagraph are 
     subject to the limitations of subparagraph (H)(ii).''.
       (2) Exclusion of reissued benefits from resources.--Section 
     1613(a) of such Act (42 U.S.C. 1382b(a)) is amended--
       (A) in paragraph (12), by striking ``and'' at the end;
       (B) in paragraph (13), by striking the period and inserting 
     ``; and''; and
       (C) by inserting after paragraph (13) the following new 
     paragraph:
       ``(14) for the 9-month period beginning after the month in 
     which received, any amount received by such individual (or 
     spouse) or any other person whose income is deemed to be 
     included in such individual's (or spouse's) income for 
     purposes of this title as restitution for benefits under this 
     title, title II, or title VIII that a representative payee of 
     such individual (or spouse) or such other person under 
     section 205(j), 807, or 1631(a)(2) has misused.''.
       (3) Misuse of benefits defined.--Section 1631(a)(2)(A) of 
     such Act (42 U.S.C. 1383(a)(2)(A)) is amended by adding at 
     the end the following new clause:
       ``(iv) For purposes of this paragraph, misuse of benefits 
     by a representative payee occurs in any case in which the 
     representative payee receives payment under this title for 
     the use and benefit of another person and converts such 
     payment, or any part thereof, to a use other than for the use 
     and benefit of such other person. The Commissioner of Social 
     Security may prescribe by regulation the meaning of the term 
     `use and benefit' for purposes of this clause.''.
       (d) Effective Date.--The amendments made by this section 
     shall apply to any case of benefit misuse by a representative 
     payee with respect to which the Commissioner makes the 
     determination of misuse on or after January 1, 1995.

     SEC. 102. OVERSIGHT OF REPRESENTATIVE PAYEES.

       (a) Certification of Bonding and Licensing Requirements for 
     Nongovernmental Organizational Representative Payees.--
       (1) Title ii amendments.--Section 205(j) of the Social 
     Security Act (42 U.S.C. 405(j)) is amended--
       (A) in paragraph (2)(C)(v), by striking ``a community-based 
     nonprofit social service agency licensed or bonded by the 
     State'' in subclause (I) and inserting ``a certified 
     community-based nonprofit social service agency (as defined 
     in paragraph (9))'';
       (B) in paragraph (3)(F), by striking ``community-based 
     nonprofit social service agencies'' and inserting ``certified 
     community-based nonprofit social service agencies (as defined 
     in paragraph (9))'';
       (C) in paragraph (4)(B), by striking ``any community-based 
     nonprofit social service agency which is bonded or licensed 
     in each State in which it serves as a representative payee'' 
     and inserting ``any certified community-based nonprofit 
     social service agency (as defined in paragraph (9))''; and
       (D) by adding after paragraph (8) (as added by section 
     101(a)(2) of this Act) the following new paragraph:
       ``(9) For purposes of this subsection, the term `certified 
     community-based nonprofit social service agency' means a 
     community-based nonprofit social service agency which is in 
     compliance with requirements, under regulations which shall 
     be prescribed by the Commissioner, for annual certification 
     to the Commissioner that it is bonded in accordance with 
     requirements specified by the Commissioner and that it is 
     licensed in each State in which it serves as a representative 
     payee (if licensing is available in such State) in accordance 
     with requirements specified by the Commissioner. Any such 
     annual certification shall include a copy of any independent 
     audit on such agency which may have been performed since the 
     previous certification.''.
       (2) Title xvi amendments.--Section 1631(a)(2) of such Act 
     (42 U.S.C. 1383(a)(2)) is amended--
       (A) in subparagraph (B)(vii), by striking ``a community-
     based nonprofit social service agency licensed or bonded by 
     the State'' in subclause (I) and inserting ``a certified 
     community-based nonprofit social service agency (as defined 
     in subparagraph (I))'';
       (B) in subparagraph (D)(ii)--
       (i) by striking ``or any community-based'' and all that 
     follows through ``in accordance'' in subclause (II) and 
     inserting ``or any certified community-based nonprofit social 
     service agency (as defined in subparagraph (I)), if the 
     agency, in accordance'';
       (ii) by redesignating items (aa) and (bb) as subclauses (I) 
     and (II), respectively (and adjusting the margination 
     accordingly); and
       (iii) by striking ``subclause (II)(bb)'' and inserting 
     ``subclause (II)''; and
       (C) by adding at the end the following new subparagraph:
       ``(I) For purposes of this paragraph, the term `certified 
     community-based nonprofit social service agency' means a 
     community-based nonprofit social service agency which is in 
     compliance with requirements, under regulations which shall 
     be prescribed by the Commissioner, for annual certification 
     to the Commissioner that it is bonded in accordance with 
     requirements specified by the Commissioner and that it is 
     licensed in each State in which it serves as a representative 
     payee (if licensing is available in the State) in accordance 
     with requirements specified by the Commissioner. Any such 
     annual certification shall include a copy of any independent 
     audit on the agency which may have been performed since the 
     previous certification.''.
       (3) Effective date.--The amendments made by this subsection 
     shall take effect on the first day of the thirteenth month 
     beginning after the date of enactment of this Act.
       (b) Periodic Onsite Review.--
       (1) Title ii amendment.--Section 205(j)(6) of such Act (42 
     U.S.C.-
      405(j)(6)) is amended to read as follows:
       ``(6)(A) In addition to such other reviews of 
     representative payees as the Commissioner of Social Security 
     may otherwise conduct, the Commissioner shall provide for the 
     periodic onsite review of any person or agency located in the 
     United States that receives the benefits payable under this 
     title (alone or in combination with benefits payable under 
     title VIII or title XVI) to another individual pursuant to 
     the appointment of such person or agency as a representative 
     payee under this subsection, section 807, or section 
     1631(a)(2) in any case in which--
       ``(i) the representative payee is a person who serves in 
     that capacity with respect to 15 or more such individuals;
       ``(ii) the representative payee is a certified community-
     based nonprofit social service agency (as defined in 
     paragraph (9) of this subsection or section 1631(a)(2)(I)); 
     or
       ``(iii) the representative payee is an agency (other than 
     an agency described in clause (ii)) that serves in that 
     capacity with respect to 50 or more such individuals.
       ``(B) Within 120 days after the end of each fiscal year, 
     the Commissioner shall submit to the Committee on Ways and 
     Means of the House of Representatives and the Committee on 
     Finance of the Senate a report on the results of periodic 
     onsite reviews conducted during the fiscal year pursuant to 
     subparagraph (A) and of any other reviews of representative 
     payees conducted during such fiscal year in connection with 
     benefits under this title. Each such report shall describe in 
     detail all problems identified in such reviews and any 
     corrective action taken or planned to be taken to correct 
     such problems, and shall include--
       ``(i) the number of such reviews;
       ``(ii) the results of such reviews;
       ``(iii) the number of cases in which the representative 
     payee was changed and why;
       ``(iv) the number of cases involving the exercise of 
     expedited, targeted oversight of the representative payee by 
     the Commissioner conducted upon receipt of an allegation of 
     misuse of funds, failure to pay a vendor, or a similar 
     irregularity;
       ``(v) the number of cases discovered in which there was a 
     misuse of funds;
       ``(vi) how any such cases of misuse of funds were dealt 
     with by the Commissioner;
       ``(vii) the final disposition of such cases of misuse of 
     funds, including any criminal penalties imposed; and
       ``(viii) such other information as the Commissioner deems 
     appropriate.''.
       (2) Title viii amendment.--Section 807 of such Act (as 
     amended by section 101(b)(2) of this Act) is amended further 
     by adding at the end the following new subsection:
       ``(k) Periodic Onsite Review.--(1) In addition to such 
     other reviews of representative payees as the Commissioner of 
     Social Security may otherwise conduct, the Commissioner may 
     provide for the periodic onsite review of any person or 
     agency that receives the benefits payable under this title 
     (alone or in combination with benefits payable under title II 
     or title XVI) to another individual pursuant to the 
     appointment of such person or agency as a representative 
     payee

[[Page 22897]]

     under this section, section 205(j), or section 1631(a)(2) in 
     any case in which--
       ``(A) the representative payee is a person who serves in 
     that capacity with respect to 15 or more such individuals; or
       ``(B) the representative payee is an agency that serves in 
     that capacity with respect to 50 or more such individuals.
       ``(2) Within 120 days after the end of each fiscal year, 
     the Commissioner shall submit to the Committee on Ways and 
     Means of the House of Representatives and the Committee on 
     Finance of the Senate a report on the results of periodic 
     onsite reviews conducted during the fiscal year pursuant to 
     paragraph (1) and of any other reviews of representative 
     payees conducted during such fiscal year in connection with 
     benefits under this title. Each such report shall describe in 
     detail all problems identified in such reviews and any 
     corrective action taken or planned to be taken to correct 
     such problems, and shall include--
       ``(A) the number of such reviews;
       ``(B) the results of such reviews;
       ``(C) the number of cases in which the representative payee 
     was changed and why;
       ``(D) the number of cases involving the exercise of 
     expedited, targeted oversight of the representative payee by 
     the Commissioner conducted upon receipt of an allegation of 
     misuse of funds, failure to pay a vendor, or a similar 
     irregularity;
       ``(E) the number of cases discovered in which there was a 
     misuse of funds;
       ``(F) how any such cases of misuse of funds were dealt with 
     by the Commissioner;
       ``(G) the final disposition of such cases of misuse of 
     funds, including any criminal penalties imposed; and
       ``(H) such other information as the Commissioner deems 
     appropriate.''.
       (3) Title xvi amendment.--Section 1631(a)(2)(G) of such Act 
     (42 U.S.C. 1383(a)(2)(G)) is amended to read as follows:
       ``(G)(i) In addition to such other reviews of 
     representative payees as the Commissioner of Social Security 
     may otherwise conduct, the Commissioner shall provide for the 
     periodic onsite review of any person or agency that receives 
     the benefits payable under this title (alone or in 
     combination with benefits payable under title II or title 
     VIII) to another individual pursuant to the appointment of 
     the person or agency as a representative payee under this 
     paragraph, section 205(j), or section 807 in any case in 
     which--
       ``(I) the representative payee is a person who serves in 
     that capacity with respect to 15 or more such individuals;
       ``(II) the representative payee is a certified community-
     based nonprofit social service agency (as defined in 
     subparagraph (I) of this paragraph or section 205(j)(9)); or
       ``(III) the representative payee is an agency (other than 
     an agency described in subclause (II)) that serves in that 
     capacity with respect to 50 or more such individuals.
       ``(ii) Within 120 days after the end of each fiscal year, 
     the Commissioner shall submit to the Committee on Ways and 
     Means of the House of Representatives and the Committee on 
     Finance of the Senate a report on the results of periodic 
     onsite reviews conducted during the fiscal year pursuant to 
     clause (i) and of any other reviews of representative payees 
     conducted during such fiscal year in connection with benefits 
     under this title. Each such report shall describe in detail 
     all problems identified in the reviews and any corrective 
     action taken or planned to be taken to correct the problems, 
     and shall include--
       ``(I) the number of the reviews;
       ``(II) the results of such reviews;
       ``(III) the number of cases in which the representative 
     payee was changed and why;
       ``(IV) the number of cases involving the exercise of 
     expedited, targeted oversight of the representative payee by 
     the Commissioner conducted upon receipt of an allegation of 
     misuse of funds, failure to pay a vendor, or a similar 
     irregularity;
       ``(V) the number of cases discovered in which there was a 
     misuse of funds;
       ``(VI) how any such cases of misuse of funds were dealt 
     with by the Commissioner;
       ``(VII) the final disposition of such cases of misuse of 
     funds, including any criminal penalties imposed; and
       ``(VIII) such other information as the Commissioner deems 
     appropriate.''.

     SEC. 103. DISQUALIFICATION FROM SERVICE AS REPRESENTATIVE 
                   PAYEE OF PERSONS CONVICTED OF OFFENSES 
                   RESULTING IN IMPRISONMENT FOR MORE THAN 1 YEAR, 
                   OF PERSONS FLEEING PROSECUTION, CUSTODY, OR 
                   CONFINEMENT, AND OF PERSONS VIOLATING PROBATION 
                   OR PAROLE.

       (a) Title II Amendments.--Section 205(j)(2) of the Social 
     Security Act (42 U.S.C. 405(j)(2)) is amended--
       (1) in subparagraph (B)(i)--
       (A) by striking ``and'' at the end of subclause (III);
       (B) by redesignating subclause (IV) as subclause (VI); and
       (C) by inserting after subclause (III) the following new 
     subclauses:
       ``(IV) obtain information concerning whether such person 
     has been convicted of any other offense under Federal or 
     State law which resulted in imprisonment for more than 1 
     year,
       ``(V) obtain information concerning whether such person is 
     a person described in clause (iv) or (v) of section 
     202(x)(1)(A), and''.
       (2) in subparagraph (C)(i)(II), by striking ``subparagraph 
     (B)(i)(IV),,'' and inserting ``subparagraph (B)(i)(VI)'' and 
     striking ``section 1631(a)(2)(B)(ii)(IV)'' and inserting 
     ``section 1631(a)(2)(B)(ii)(VI)''; and
       (3) in subparagraph (C)(i)--
       (A) by striking ``or'' at the end of subclause (II);
       (B) by striking the period at the end of subclause (III) 
     and inserting a comma; and
       (C) by adding at the end the following new subclauses:
       ``(IV) such person has previously been convicted as 
     described in subparagraph (B)(i)(IV), unless the Commissioner 
     determines that such certification would be appropriate 
     notwithstanding such conviction, or
       ``(V) such person is person described in clause (iv) or (v) 
     of section 202(x)(1)(A).''.
       (b) Title VIII Amendments.--Section 807 of such Act (42 
     U.S.C. 1007) is amended--
       (1) in subsection (b)(2)--
       (A) by striking ``and'' at the end of subparagraph (C);
       (B) by redesignating subparagraph (D) as subparagraph (F); 
     and
       (C) by inserting after subparagraph (C) the following new 
     subparagraphs:
       ``(D) obtain information concerning whether such person has 
     been convicted of any other offense under Federal or State 
     law which resulted in imprisonment for more than 1 year;
       ``(E) obtain information concerning whether such person is 
     a person described in paragraph (2) or (3) of section 804(a); 
     and''; and
       (2) in subsection (d)(1)--
       (A) by striking ``or'' at the end of subparagraph (B);
       (B) by striking the period at the end of subparagraph (C) 
     and inserting a semicolon; and
       (C) by adding at the end the following new subparagraphs:
       ``(D) such person has previously been convicted as 
     described in subsection (b)(2)(D), unless the Commissioner 
     determines that such payment would be appropriate 
     notwithstanding such conviction; or
       ``(E) such person is a person described in paragraph (2) or 
     (3) of section 804(a).''.
       (c) Title XVI Amendments.--Section 1631(a)(2)(B) of such 
     Act (42 U.S.C. 1383(a)(2)(B)) is amended--
       (1) in clause (ii)--
       (A) by striking ``and'' at the end of subclause (III);
       (B) by redesignating subclause (IV) as subclause (VI); and
       (C) by inserting after subclause (III) the following new 
     subclauses:
       ``(IV) obtain information concerning whether the person has 
     been convicted of any other offense under Federal or State 
     law which resulted in imprisonment for more than 1 year;
       ``(V) obtain information concerning whether such person is 
     a person described in section 1611(e)(4); and'';
       (2) in clause (iii)(II)--
       (A) by striking ``clause (ii)(IV)'' and inserting ``clause 
     (ii)(VI)''; and
       (B) by striking ``section 205(j)(2)(B)(i)(IV)'' and 
     inserting ``section 205(j)(2)(B)(i)(VI)''; and
       (3) in clause (iii)--
       (A) by striking ``or'' at the end of subclause (II);
       (B) by striking the period at the end of subclause (III) 
     and inserting a semicolon; and
       (C) by adding at the end the following new subclauses:
       ``(IV) the person has previously been convicted as 
     described in clause (ii)(IV) of this subparagraph, unless the 
     Commissioner determines that the payment would be appropriate 
     notwithstanding the conviction; or
       ``(V) such person is a person described in section 
     1611(e)(4).''.
       (d) Effective Date.--The amendments made by this section 
     shall take effect on the first day of the thirteenth month 
     beginning after the date of enactment of this Act.
       (e) Report to Congress.--The Commissioner of Social 
     Security, in consultation with the Inspector General of the 
     Social Security Administration, shall prepare a report 
     evaluating whether the existing procedures and reviews for 
     the qualification (including disqualification) of 
     representative payees are sufficient to enable the 
     Commissioner to protect benefits from being misused by 
     representative payees. The Commissioner shall submit the 
     report to the Committee on Ways and Means of the House of 
     Representatives and the Committee on Finance of the Senate no 
     later than 270 days after the date of enactment of this Act. 
     The Commissioner shall include in such report any 
     recommendations that the Commissioner considers appropriate.

     SEC. 104. FEE FORFEITURE IN CASE OF BENEFIT MISUSE BY 
                   REPRESENTATIVE PAYEES.

       (a) Title II Amendments.--Section 205(j)(4)(A)(i) of the 
     Social Security Act (42 U.S.C. 405(j)(4)(A)(i)) is amended--
       (1) in the first sentence, by striking ``A'' and inserting 
     ``Except as provided in the next sentence, a''; and
       (2) in the second sentence, by striking ``The Secretary'' 
     and inserting the following:


[[Page 22898]]


     ``A qualified organization may not collect a fee from an 
     individual for any month with respect to which the 
     Commissioner of Social Security or a court of competent 
     jurisdiction has determined that the organization misused all 
     or part of the individual's benefit, and any amount so 
     collected by the qualified organization for such month shall 
     be treated as a misused part of the individual's benefit for 
     purposes of paragraphs (5) and (6). The Commissioner''.
       (b) Title XVI Amendments.--Section 1631(a)(2)(D)(i) of such 
     Act (42 U.S.C. 
     1383(a)(2)(D)(i)) is amended--
       (1) in the first sentence, by striking ``A'' and inserting 
     ``Except as provided in the next sentence, a''; and
       (2) in the second sentence, by striking ``The 
     Commissioner'' and inserting the following: ``A qualified 
     organization may not collect a fee from an individual for any 
     month with respect to which the Commissioner of Social 
     Security or a court of competent jurisdiction has determined 
     that the organization misused all or part of the individual's 
     benefit, and any amount so collected by the qualified 
     organization for such month shall be treated as a misused 
     part of the individual's benefit for purposes of 
     subparagraphs (E) and (F). The Commissioner''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to any month involving benefit misuse by a 
     representative payee in any case with respect to which the 
     Commissioner of Social Security or a court of competent 
     jurisdiction makes the determination of misuse after December 
     31, 2002.

     SEC. 105. LIABILITY OF REPRESENTATIVE PAYEES FOR MISUSED 
                   BENEFITS.

       (a) Title II Amendments.--Section 205(j) of the Social 
     Security Act (42 U.S.C. 405(j)) (as amended by sections 101 
     and 102) is amended further--
       (1) by redesignating paragraphs (7), (8), and (9) as 
     paragraphs (8), (9), and (10), respectively;
       (2) in paragraphs (2)(C)(v), (3)(F), and (4)(B), by 
     striking ``paragraph (9)'' and inserting ``paragraph (10)'';
       (3) in paragraph (6)(A)(ii), by striking ``paragraph (9)'' 
     and inserting ``paragraph (10)''; and
       (4) by inserting after paragraph (6) the following new 
     paragraph:
       ``(7)(A) If the Commissioner of Social Security or a court 
     of competent jurisdiction determines that a representative 
     payee that is not a Federal, State, or local government 
     agency has misused all or part of an individual's benefit 
     that was paid to such representative payee under this 
     subsection, the representative payee shall be liable for the 
     amount misused, and such amount (to the extent not repaid by 
     the representative payee) shall be treated as an overpayment 
     of benefits under this title to the representative payee for 
     all purposes of this Act and related laws pertaining to the 
     recovery of such overpayments. Subject to subparagraph (B), 
     upon recovering all or any part of such amount, the 
     Commissioner shall certify an amount equal to the recovered 
     amount for payment to such individual or such individual's 
     alternative representative payee.
       ``(B) The total of the amount certified for payment to such 
     individual or such individual's alternative representative 
     payee under subparagraph (A) and the amount certified for 
     payment under paragraph (5) may not exceed the total benefit 
     amount misused by the representative payee with respect to 
     such individual.''.
       (b) Title VIII Amendment.--Section 807 of such Act (as 
     amended by section 102(b)(2)) is amended further by adding at 
     the end the following new subsection:
       ``(l) Liability for Misused Amounts.--
       ``(1) In general.--If the Commissioner of Social Security 
     or a court of competent jurisdiction determines that a 
     representative payee that is not a Federal, State, or local 
     government agency has misused all or part of a qualified 
     individual's benefit that was paid to such representative 
     payee under this section, the representative payee shall be 
     liable for the amount misused, and such amount (to the extent 
     not repaid by the representative payee) shall be treated as 
     an overpayment of benefits under this title to the 
     representative payee for all purposes of this Act and related 
     laws pertaining to the recovery of such overpayments. Subject 
     to paragraph (2), upon recovering all or any part of such 
     amount, the Commissioner shall make payment of an amount 
     equal to the recovered amount to such qualified individual or 
     such qualified individual's alternative representative payee.
       ``(2) Limitation.--The total of the amount paid to such 
     individual or such individual's alternative representative 
     payee under paragraph (1) and the amount paid under 
     subsection (i) may not exceed the total benefit amount 
     misused by the representative payee with respect to such 
     individual.''.
       (c) Title XVI Amendments.--Section 1631(a)(2) of such Act 
     (42 U.S.C. 1383(a)(2)) (as amended by section 102(b)(3)) is 
     amended further--
       (1) in subparagraph (G)(i)(II), by striking ``section 
     205(j)(9)'' and inserting ``section 205(j)(10)''; and
       (2) by striking subparagraph (H) and inserting the 
     following:
       ``(H)(i) If the Commissioner of Social Security or a court 
     of competent jurisdiction determines that a representative 
     payee that is not a Federal, State, or local government 
     agency has misused all or part of an individual's benefit 
     that was paid to the representative payee under this 
     paragraph, the representative payee shall be liable for the 
     amount misused, and the amount (to the extent not repaid by 
     the representative payee) shall be treated as an overpayment 
     of benefits under this title to the representative payee for 
     all purposes of this Act and related laws pertaining to the 
     recovery of the overpayments. Subject to clause (ii), upon 
     recovering all or any part of the amount, the Commissioner 
     shall make payment of an amount equal to the recovered amount 
     to such individual or such individual's alternative 
     representative payee.
       ``(ii) The total of the amount paid to such individual or 
     such individual's alternative representative payee under 
     clause (i) and the amount paid under subparagraph (E) may not 
     exceed the total benefit amount misused by the representative 
     payee with respect to such individual.''.
       (d) Effective Date.--The amendments made by this section 
     shall apply to benefit misuse by a representative payee in 
     any case with respect to which the Commissioner of Social 
     Security or a court of competent jurisdiction makes the 
     determination of misuse after December 31, 2002.

     SEC. 106. AUTHORITY TO REDIRECT DELIVERY OF BENEFIT PAYMENTS 
                   WHEN A REPRESENTATIVE PAYEE FAILS TO PROVIDE 
                   REQUIRED ACCOUNTING.

       (a) Title II Amendments.--Section 205(j)(3) of the Social 
     Security Act (42 U.S.C. 
     405(j)(3)) (as amended by sections 102(a)(1)(B) and 
     105(a)(2)) is amended--
       (1) by redesignating subparagraphs (E) and (F) as 
     subparagraphs (F) and (G), respectively; and
       (2) by inserting after subparagraph (D) the following new 
     subparagraph:
       ``(E) In any case in which the person described in 
     subparagraph (A) or (D) receiving payments on behalf of 
     another fails to submit a report required by the Commissioner 
     of Social Security under subparagraph (A) or (D), the 
     Commissioner may, after furnishing notice to such person and 
     the individual entitled to such payment, require that such 
     person appear in person at a field office of the Social 
     Security Administration serving the area in which the 
     individual resides in order to receive such payments.''.
       (b) Title VIII Amendments.--Section 807(h) of such Act (42 
     U.S.C. 1007(h)) is amended--
       (1) by redesignating paragraphs (3) and (4) as paragraphs 
     (4) and (5), respectively; and
       (2) by inserting after paragraph (2) the following new 
     paragraph:
       ``(3) Authority to redirect delivery of benefit payments 
     when a representative payee fails to provide required 
     accounting.--In any case in which the person described in 
     paragraph (1) or (2) receiving benefit payments on behalf of 
     a qualified individual fails to submit a report required by 
     the Commissioner of Social Security under paragraph (1) or 
     (2), the Commissioner may, after furnishing notice to such 
     person and the qualified individual, require that such person 
     appear in person at a United States Government facility 
     designated by the Social Security Administration as serving 
     the area in which the qualified individual resides in order 
     to receive such benefit payments.''.
       (c) Title XVI Amendment.--Section 1631(a)(2)(C) of such Act 
     (42 U.S.C. 
     1383(a)(2)(C)) is amended by adding at the end the following 
     new clause:
       ``(v) In any case in which the person described in clause 
     (i) or (iv) receiving payments on behalf of another fails to 
     submit a report required by the Commissioner of Social 
     Security under clause (i) or (iv), the Commissioner may, 
     after furnishing notice to the person and the individual 
     entitled to the payment, require that such person appear in 
     person at a field office of the Social Security 
     Administration serving the area in which the individual 
     resides in order to receive such payments.''.
       (d) Effective Date.--The amendment made by this section 
     shall take effect 180 days after the date of enactment of 
     this Act.

                        Subtitle B--Enforcement

     SEC. 111. CIVIL MONETARY PENALTY AUTHORITY WITH RESPECT TO 
                   WRONGFUL CONVERSIONS BY REPRESENTATIVE PAYEES.

       (a) In General.--Section 1129(a) of the Social Security Act 
     (42 U.S.C. 1320a-8) is amended by adding at the end the 
     following new paragraph:
       ``(3) Any person (including an organization, agency, or 
     other entity) who, having received, while acting in the 
     capacity of a representative payee pursuant to section 
     205(j), 807, or 1631(a)(2), a payment under title II, VIII, 
     or XVI for the use and benefit of another individual, 
     converts such payment, or any part thereof, to a use that 
     such person knows or should know is other than for the use 
     and benefit of such other individual shall be subject to, in 
     addition to any other penalties that may be prescribed by 
     law, a civil money penalty of not more than $5,000 for each 
     such conversion. Such person shall also be subject to an 
     assessment, in lieu of damages sustained by the United States 
     resulting from the conversion, of not more than twice the 
     amount of any payments so converted.''.

[[Page 22899]]

       (b) Effective Date.--The amendment made by this section 
     shall apply with respect to violations committed after the 
     date of enactment of this Act.

                     TITLE II--PROGRAM PROTECTIONS

     SEC. 201. ISSUANCE BY COMMISSIONER OF SOCIAL SECURITY OF 
                   RECEIPTS TO ACKNOWLEDGE SUBMISSION OF REPORTS 
                   OF CHANGES IN WORK OR EARNINGS STATUS OF 
                   DISABLED BENEFICIARIES.

       Effective as soon as possible, but not later than 1 year 
     after the date of enactment of this Act, until such time as 
     the Commissioner of Social Security implements a centralized 
     computer file recording the date of the submission of 
     information by a disabled beneficiary (or representative) 
     regarding a change in the beneficiary's work or earnings 
     status, the Commissioner shall issue a receipt to the 
     disabled beneficiary (or representative) each time he or she 
     submits documentation, or otherwise reports to the 
     Commissioner, on a change in such status.

     SEC. 202. DENIAL OF TITLE II BENEFITS TO PERSONS FLEEING 
                   PROSECUTION, CUSTODY, OR CONFINEMENT, AND TO 
                   PERSONS VIOLATING PROBATION OR PAROLE.

       (a) In General.--Section 202(x) of the Social Security Act 
     (42 U.S.C. 402(x)) is amended--
       (1) in the heading, by striking ``Prisoners'' and all that 
     follows and inserting the following: ``Prisoners, Certain 
     Other Inmates of Publicly Funded Institutions, and 
     Fugitives'';
       (2) in paragraph (1)(A)(ii)(IV), by striking ``or'' at the 
     end;
       (3) in paragraph (1)(A)(iii), by striking the period at the 
     end and inserting a comma;
       (4) by inserting after paragraph (1)(A)(iii) the following:
       ``(iv) is fleeing to avoid prosecution, or custody or 
     confinement after conviction, under the laws of the place 
     from which the person flees, for a crime, or an attempt to 
     commit a crime, which is a felony under the laws of the place 
     from which the person flees, or which, in the case of the 
     State of New Jersey, is a high misdemeanor under the laws of 
     such State, or
       ``(v) is violating a condition of probation or parole 
     imposed under Federal or State law.
     In the case of an individual from whom such monthly benefits 
     have been withheld pursuant to clause (iv), the Commissioner 
     may, for good cause shown, pay such withheld benefits to the 
     individual.''; and
       (5) in paragraph (3), by adding at the end the following 
     new subparagraph:
       ``(C) Notwithstanding the provisions of section 552a of 
     title 5, United States Code, or any other provision of 
     Federal or State law (other than section 6103 of the Internal 
     Revenue Code of 1986 and section 1106(c) of this Act), the 
     Commissioner shall furnish any Federal, State, or local law 
     enforcement officer, upon the written request of the officer, 
     with the current address, Social Security number, and 
     photograph (if applicable) of any beneficiary under this 
     title, if the officer furnishes the Commissioner with the 
     name of the beneficiary, and other identifying information as 
     reasonably required by the Commissioner to establish the 
     unique identity of the beneficiary, and notifies the 
     Commissioner that--
       ``(i) the beneficiary--
       ``(I) is described in clause (iv) or (v) of paragraph 
     (1)(A); and
       ``(II) has information that is necessary for the officer to 
     conduct the officer's official duties; and
       ``(ii) the location or apprehension of the beneficiary is 
     within the officer's official duties.''.
       (b) Regulations.--Not later than the first day of the first 
     month that begins on or after the date that is 9 months after 
     the date of enactment of this Act, the Commissioner of Social 
     Security shall promulgate regulations governing payment by 
     the Commissioner, for good cause shown, of withheld benefits, 
     pursuant to the last sentence of section 202(x)(1)(A) of the 
     Social Security Act (as amended by subsection (a)).
       (c) Effective Date.--The amendments made by subsection (a) 
     shall take effect on the first day of the first month that 
     begins on or after the date that is 9 months after the date 
     of enactment of this Act.

     SEC. 203. REQUIREMENTS RELATING TO OFFERS TO PROVIDE FOR A 
                   FEE A PRODUCT OR SERVICE AVAILABLE WITHOUT 
                   CHARGE FROM THE SOCIAL SECURITY ADMINISTRATION.

       (a) In General.--Section 1140 of the Social Security Act 
     (42 U.S.C. 1320b-10) is amended--
       (1) in subsection (a), by adding at the end the following 
     new paragraph:
       ``(4)(A) No person shall offer, for a fee, to assist an 
     individual to obtain a product or service that the person 
     knows or should know is provided free of charge by the Social 
     Security Administration unless, at the time the offer is 
     made, the person provides to the individual to whom the offer 
     is tendered a notice that--
       ``(i) explains that the product or service is available 
     free of charge from the Social Security Administration, and
       ``(ii) complies with standards prescribed by the 
     Commissioner of Social Security respecting the content of 
     such notice and its placement, visibility, and legibility.
       ``(B) Subparagraph (A) shall not apply to any offer--
       ``(i) to serve as a claimant representative in connection 
     with a claim arising under title II, title VIII, or title 
     XVI; or
       ``(ii) to prepare, or assist in the preparation of, an 
     individual's plan for achieving self-support under title 
     XVI.''; and
       (2) in the heading, by striking ``prohibition of misuse of 
     symbols, emblems, or names in reference'' and inserting 
     ``prohibitions relating to references''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to offers of assistance made after the sixth 
     month ending after the Commissioner of Social Security 
     promulgates final regulations prescribing the standards 
     applicable to the notice required to be provided in 
     connection with such offer. The Commissioner shall promulgate 
     such final regulations within 1 year after the date of 
     enactment of this Act.

     SEC. 204. REFUSAL TO RECOGNIZE CERTAIN INDIVIDUALS AS 
                   CLAIMANT REPRESENTATIVES.

       Section 206(a)(1) of the Social Security Act (42 U.S.C. 
     406(a)(1)) is amended by inserting after the second sentence 
     the following: ``Notwithstanding the preceding sentences, the 
     Commissioner, after due notice and opportunity for hearing, 
     (A) may refuse to recognize as a representative, and may 
     disqualify a representative already recognized, any attorney 
     who has been disbarred or suspended from any court or bar to 
     which he or she was previously admitted to practice or who 
     has been disqualified from participating in or appearing 
     before any Federal program or agency, and (B) may refuse to 
     recognize, and may disqualify, as a nonattorney 
     representative any attorney who has been disbarred or 
     suspended from any court or bar to which he or she was 
     previously admitted to practice. A representative who has 
     been disqualified or suspended pursuant to this section from 
     appearing before the Social Security Administration as a 
     result of collecting or receiving a fee in excess of the 
     amount authorized shall be barred from appearing before the 
     Social Security Administration as a representative until full 
     restitution is made to the claimant and, thereafter, may be 
     considered for reinstatement only under such rules as the 
     Commissioner may prescribe.''.

     SEC. 205. PENALTY FOR CORRUPT OR FORCIBLE INTERFERENCE WITH 
                   ADMINISTRATION OF SOCIAL SECURITY ACT.

       Part A of title XI of the Social Security Act (42 U.S.C. 
     1301 et seq.) is amended by inserting after section 1129A the 
     following new section:


   ``attempts to interfere with administration of social security act

       ``Sec. 1129B. Whoever corruptly or by force or threats of 
     force (including any threatening letter or communication) 
     attempts to intimidate or impede any officer, employee, or 
     contractor of the Social Security Administration (including 
     any State employee of a disability determination service or 
     any other individual designated by the Commissioner of Social 
     Security) acting in an official capacity to carry out a duty 
     under this Act, or in any other way corruptly or by force or 
     threats of force (including any threatening letter or 
     communication) obstructs or impedes, or attempts to obstruct 
     or impede, the due administration of this Act, shall be fined 
     not more than $5,000, imprisoned not more than 3 years, or 
     both, except that if the offense is committed only by threats 
     of force, the person shall be fined not more than $3,000, 
     imprisoned not more than 1 year, or both. In this subsection, 
     the term `threats of force' means threats of harm to the 
     officer or employee of the United States or to a contractor 
     of the Social Security Administration, or to a member of the 
     family of such an officer or employee or contractor.''.

     SEC. 206. USE OF SYMBOLS, EMBLEMS, OR NAMES IN REFERENCE TO 
                   SOCIAL SECURITY OR MEDICARE.

       (a) In General.--Section 1140(a)(1) of the Social Security 
     Act (42 U.S.C. 1320b-10(a)(1)) is amended--
       (1) in subparagraph (A), by inserting ```Centers for 
     Medicare & Medicaid Services','' after ```Health Care 
     Financing Administration','', by striking ``or `Medicaid','' 
     and inserting ```Medicaid', `Death Benefits Update', `Federal 
     Benefit Information', `Funeral Expenses', or `Final 
     Supplemental Plan','' and by inserting ```CMS','' after 
     ```HCFA','';
       (2) in subparagraph (B), by inserting ``Centers for 
     Medicare & Medicaid Services,'' after ``Health Care Financing 
     Administration,'' each place it appears; and
       (3) in the matter following subparagraph (B), by striking 
     ``the Health Care Financing Administration,'' each place it 
     appears and inserting ``the Centers for Medicare & Medicaid 
     Services,''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to items sent after 180 days after the date of 
     enactment of this Act.

     SEC. 207. DISQUALIFICATION FROM PAYMENT DURING TRIAL WORK 
                   PERIOD UPON CONVICTION OF FRAUDULENT 
                   CONCEALMENT OF WORK ACTIVITY.

       (a) In General.--Section 222(c) of the Social Security Act 
     (42 U.S.C. 422(c)) is amended by adding at the end the 
     following new paragraph:
       ``(5) Upon conviction by a Federal court that an individual 
     has fraudulently concealed work activity during a period of 
     trial

[[Page 22900]]

     work from the Commissioner of Social Security by--
       ``(A) providing false information to the Commissioner of 
     Social Security as to whether the individual had earnings in 
     or for a particular period, or as to the amount thereof;
       ``(B) receiving disability insurance benefits under this 
     title while engaging in work activity under another identity, 
     including under another social security account number or a 
     number purporting to be a social security account number; or
       ``(C) taking other actions to conceal work activity with an 
     intent fraudulently to secure payment in a greater amount 
     than is due or when no payment is authorized,

     no benefit shall be payable to such individual under this 
     title with respect to a period of disability for any month 
     before such conviction during which the individual rendered 
     services during the period of trial work with respect to 
     which the fraudulently concealed work activity occurred, and 
     amounts otherwise due under this title as restitution, 
     penalties, assessments, fines, or other repayments shall in 
     all cases be in addition to any amounts for which such 
     individual is liable as overpayments by reason of such 
     concealment.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply with respect to work activity performed after the 
     date of the enactment of this Act.

          TITLE III--ATTORNEY FEE PAYMENT SYSTEM IMPROVEMENTS

     SEC. 301. CAP ON ATTORNEY ASSESSMENTS.

       (a) In General.--Section 206(d)(2)(A) of the Social 
     Security Act (42 U.S.C. 406(d)(2)(A)) is amended--
       (1) by inserting ``, except that the maximum amount of the 
     assessment may not exceed the greater of $75 or the adjusted 
     amount as provided pursuant to the following two sentences'' 
     after ``subparagraph (B)''; and
       (2) by adding at the end the following new sentence: ``In 
     the case of any calendar year beginning after 2003, the 
     dollar amount specified in the preceding sentence (including 
     a previously adjusted amount) shall be adjusted annually 
     under the procedures used to adjust benefit amounts under 
     section 215(i)(2)(A)(ii), except such adjustment shall be 
     based on the higher of $75 or the previously adjusted amount 
     that would have been in effect for December of the preceding 
     year, but for the rounding of such amount pursuant to the 
     following sentence. Any amount so adjusted that is not a 
     multiple of $10 shall be rounded to the next lowest multiple 
     of $10, but in no case less than $75.''.
       (b) Effective Date.--The amendment made by this section 
     shall apply with respect to fees for representation of 
     claimants which are first required to be certified or paid 
     under section 206 of the Social Security Act on or after the 
     first day of the first month that begins after 180 days after 
     the date of enactment of this Act.

            TITLE IV--MISCELLANEOUS AND TECHNICAL AMENDMENTS

    Subtitle A--Amendments Relating to the Ticket to Work and Work 
                   Incentives Improvement Act of 1999

     SEC. 401. APPLICATION OF DEMONSTRATION AUTHORITY SUNSET DATE 
                   TO NEW PROJECTS.

       Section 234 of the Social Security Act (42 U.S.C. 434) is 
     amended--
       (1) in the first sentence of subsection (c), by striking 
     ``conducted under subsection (a)'' and inserting ``initiated 
     under subsection (a) on or before December 17, 2004''; and
       (2) in subsection (d)(2), by amending the first sentence to 
     read as follows: ``The authority to initiate projects under 
     the preceding provisions of this section shall terminate on 
     December 18, 2004.''.

     SEC. 402. EXPANSION OF WAIVER AUTHORITY AVAILABLE IN 
                   CONNECTION WITH DEMONSTRATION PROJECTS 
                   PROVIDING FOR REDUCTIONS IN DISABILITY 
                   INSURANCE BENEFITS BASED ON EARNINGS.

       Section 302(c) of the Ticket to Work and Work Incentives 
     Improvement Act of 1999 (42 U.S.C. 434 note) is amended by 
     striking ``(42 U.S.C. 401 et seq.),'' and inserting ``(42 
     U.S.C. 401 et seq.) and the requirements of section 1148 of 
     such Act (42 U.S.C. 1320b-19) as they relate to the program 
     established under title II of such Act,''.

     SEC. 403. FUNDING OF DEMONSTRATION PROJECTS PROVIDED FOR 
                   REDUCTIONS IN DISABILITY INSURANCE BENEFITS 
                   BASED ON EARNINGS.

       Section 302(f) of the Ticket to Work and Work Incentives 
     Improvement Act of 1999 (42 U.S.C. 434 note) is amended to 
     read as follows:
       ``(f) Expenditures.--Administrative expenses for 
     demonstration projects under this section shall be paid from 
     funds available for the administration of title II or XVIII 
     of the Social Security Act, as appropriate. Benefits payable 
     to or on behalf of individuals by reason of participation in 
     projects under this section shall be made from the Federal 
     Disability Insurance Trust Fund and the Federal Old-Age and 
     Survivors Insurance Trust Fund, as determined appropriate by 
     the Commissioner of Social Security, and from the Federal 
     Hospital Insurance Trust Fund and the Federal Supplementary 
     Medical Insurance Trust Fund, as determined appropriate by 
     the Secretary of Health and Human Services, from funds 
     available for benefits under such title II or XVIII.''.

     SEC. 404. AVAILABILITY OF FEDERAL AND STATE WORK INCENTIVE 
                   SERVICES TO ADDITIONAL INDIVIDUALS.

       (a) Federal Work Incentives Outreach Program.--
       (1) In general.--Section 1149(c)(2) of the Social Security 
     Act (42 U.S.C. 1320b-20(c)(2)) is amended to read as follows:
       ``(2) Disabled beneficiary.--The term `disabled 
     beneficiary' means an individual--
       ``(A) who is a disabled beneficiary as defined in section 
     1148(k)(2) of this Act;
       ``(B) who is receiving a cash payment described in section 
     1616(a) of this Act or a supplementary payment described in 
     section 212(a)(3) of Public Law 93-66 (without regard to 
     whether such payment is paid by the Commissioner pursuant to 
     an agreement under section 1616(a) of this Act or under 
     section 212(b) of Public Law 93-66);
       ``(C) who, pursuant to section 1619(b) of this Act, is 
     considered to be receiving benefits under title XVI of this 
     Act; or
       ``(D) who is entitled to benefits under part A of title 
     XVIII of this Act by reason of the penultimate sentence of 
     section 226(b) of this Act.''.
       (2) Effective date.--The amendment made by this subsection 
     shall apply with respect to grants, cooperative agreements, 
     or contracts entered into on or after the date of enactment 
     of this Act.
       (b) State Grants for Work Incentives Assistance.--
       (1) Definition of disabled beneficiary.--Section 1150(g)(2) 
     of such Act (42 U.S.C. 1320b-21(g)(2)) is amended to read as 
     follows:
       ``(2) Disabled beneficiary.--The term `disabled 
     beneficiary' means an individual--
       ``(A) who is a disabled beneficiary as defined in section 
     1148(k)(2) of this Act;
       ``(B) who is receiving a cash payment described in section 
     1616(a) of this Act or a supplementary payment described in 
     section 212(a)(3) of Public Law 93-66 (without regard to 
     whether such payment is paid by the Commissioner pursuant to 
     an agreement under section 1616(a) of this Act or under 
     section 212(b) of Public Law 93-66);
       ``(C) who, pursuant to section 1619(b) of this Act, is 
     considered to be receiving benefits under title XVI of this 
     Act; or
       ``(D) who is entitled to benefits under part A of title 
     XVIII of this Act by reason of the penultimate sentence of 
     section 226(b) of this Act.''.
       (2) Advocacy or other services needed to maintain gainful 
     employment.--Section 1150(b)(2) of such Act (42 U.S.C. 1320b-
     21(b)(2)) is amended by striking ``secure or regain'' and 
     inserting ``secure, maintain, or regain''.
       (3) Effective date.--The amendments made by this subsection 
     shall apply with respect to payments provided after the date 
     of enactment of this Act.

     SEC. 405. TECHNICAL AMENDMENT CLARIFYING TREATMENT FOR 
                   CERTAIN PURPOSES OF INDIVIDUAL WORK PLANS UNDER 
                   THE TICKET TO WORK AND SELF-SUFFICIENCY 
                   PROGRAM.

       (a) In General.--Section 1148(g)(1) of the Social Security 
     Act (42 U.S.C. 1320b-19) is amended by adding at the end, 
     after and below subparagraph (E), the following new sentence:

     ``An individual work plan established pursuant to this 
     subsection shall be treated, for purposes of section 
     51(d)(6)(B)(i) of the Internal Revenue Code of 1986, as an 
     individualized written plan for employment under a State plan 
     for vocational rehabilitation services approved under the 
     Rehabilitation Act of 1973.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall take effect as if included in section 505 of the Ticket 
     to Work and Work Incentives Improvement Act of 1999 (Public 
     Law 106-170; 113 Stat. 1921).

                  Subtitle B--Miscellaneous Amendments

     SEC. 411. ELIMINATION OF TRANSCRIPT REQUIREMENT IN REMAND 
                   CASES FULLY FAVORABLE TO THE CLAIMANT.

       (a) In General.--Section 205(g) of the Social Security Act 
     (42 U.S.C. 405(g)) is amended in the sixth sentence by 
     striking ``and a transcript'' and inserting ``and, in any 
     case in which the Commissioner has not made a decision fully 
     favorable to the individual, a transcript''.
       (b) Effective Date.--The amendment made by this section 
     shall apply with respect to final determinations issued (upon 
     remand) on or after the date of enactment of this Act.

     SEC. 412. NONPAYMENT OF BENEFITS UPON REMOVAL FROM THE UNITED 
                   STATES.

       (a) In General.--Paragraphs (1) and (2) of section 202(n) 
     of the Social Security Act (42 U.S.C. 402(n)(1), (2)) are 
     each amended by striking ``or (1)(E)''.
       (b) Effective Date.--The amendment made by this section to 
     section 202(n)(1) of the Social Security Act shall apply to 
     individuals with respect to whom the Commissioner of Social 
     Security receives a removal notice from the Attorney General 
     after the date of enactment of this Act. The amendment made 
     by this section to section 202(n)(2) of the Social Security 
     Act shall apply with respect to removals occurring after the 
     date of enactment of this Act.

     SEC. 413. REINSTATEMENT OF CERTAIN REPORTING REQUIREMENTS.

       Section 3003(a)(1) of the Federal Reports Elimination and 
     Sunset Act of 1995 (31

[[Page 22901]]

     U.S.C. 1113 note) shall not apply to any report required to 
     be submitted under any of the following provisions of law:
       (1)(A) Section 201(c)(2) of the Social Security Act (42 
     U.S.C. 401(c)(2)).
       (B) Section 1817(b)(2) of the Social Security Act (42 
     U.S.C. 1395i(b)(2)).
       (C) Section 1841(b)(2) of the Social Security Act (42 
     U.S.C. 1395t(b)(2)).
       (2)(A) Section 221(c)(3)(C) of the Social Security Act (42 
     U.S.C. 421(c)(3)(C)).
       (B) Section 221(i)(3) of the Social Security Act (42 U.S.C. 
     421(i)(3)).

     SEC. 414. CLARIFICATION OF DEFINITIONS REGARDING CERTAIN 
                   SURVIVOR BENEFITS.

       (a) Widows.--Section 216(c) of the Social Security Act (42 
     U.S.C. 416(c)) is amended--
       (1) by redesignating subclauses (A) through (C) of clause 
     (6) as subclauses (i) through (iii), respectively;
       (2) by redesignating clauses (1) through (6) as clauses (A) 
     through (F), respectively;
       (3) in clause (E) (as redesignated), by inserting ``except 
     as provided in paragraph (2),'' before ``she was married'';
       (4) by inserting ``(1)'' after ``(c)''; and
       (5) by adding at the end the following new paragraph:
       ``(2) The requirements of paragraph (1)(E) in connection 
     with the surviving wife of an individual shall be treated as 
     satisfied if--
       ``(A) the individual had been married prior to the 
     individual's marriage to the surviving wife,
       ``(B) the prior wife was institutionalized during the 
     individual's marriage to the prior wife due to mental 
     incompetence or similar incapacity,
       ``(C) during the period of the prior wife's 
     institutionalization, the individual would have divorced the 
     prior wife and married the surviving wife, but the individual 
     did not do so because such divorce would have been unlawful, 
     by reason of the prior wife's institutionalization, under the 
     laws of the State in which the individual was domiciled at 
     the time (as determined based on evidence satisfactory to the 
     Commissioner of Social Security),
       ``(D) the prior wife continued to remain institutionalized 
     up to the time of her death, and
       ``(E) the individual married the surviving wife within 60 
     days after the prior wife's death.''.
       (b) Widowers.--Section 216(g) of such Act (42 U.S.C. 
     416(g)) is amended--
       (1) by redesignating subclauses (A) through (C) of clause 
     (6) as subclauses (i) through (iii), respectively;
       (2) by redesignating clauses (1) through (6) as clauses (A) 
     through (F), respectively;
       (3) in clause (E) (as redesignated), by inserting ``except 
     as provided in paragraph (2),'' before ``he was married'';
       (4) by inserting ``(1)'' after ``(g)''; and
       (5) by adding at the end the following new paragraph:
       ``(2) The requirements of paragraph (1)(E) in connection 
     with the surviving husband of an individual shall be treated 
     as satisfied if--
       ``(A) the individual had been married prior to the 
     individual's marriage to the surviving husband,
       ``(B) the prior husband was institutionalized during the 
     individual's marriage to the prior husband due to mental 
     incompetence or similar incapacity,
       ``(C) during the period of the prior husband's 
     institutionalization, the individual would have divorced the 
     prior husband and married the surviving husband, but the 
     individual did not do so because such divorce would have been 
     unlawful, by reason of the prior husband's 
     institutionalization, under the laws of the State in which 
     the individual was domiciled at the time (as determined based 
     on evidence satisfactory to the Commissioner of Social 
     Security),
       ``(D) the prior husband continued to remain 
     institutionalized up to the time of his death, and
       ``(E) the individual married the surviving husband within 
     60 days after the prior husband's death.''.
       (c) Conforming Amendment.--Section 216(k) of such Act (42 
     U.S.C. 416(k)) is amended by striking ``clause (5) of 
     subsection (c) or clause (5) of subsection (g)'' and 
     inserting ``clause (E) of subsection (c)(1) or clause (E) of 
     subsection (g)(1)''.
       (d) Effective Date.--The amendments made by this section 
     shall be effective with respect to applications for benefits 
     under title II of the Social Security Act filed during months 
     ending after the date of enactment of this Act.

     SEC. 415. CLARIFICATION RESPECTING THE FICA AND SECA TAX 
                   EXEMPTIONS FOR AN INDIVIDUAL WHOSE EARNINGS ARE 
                   SUBJECT TO THE LAWS OF A TOTALIZATION AGREEMENT 
                   PARTNER.

       Sections 1401(c), 3101(c), and 3111(c) of the Internal 
     Revenue Code of 1986 are each amended by striking ``to taxes 
     or contributions for similar purposes under'' and inserting 
     ``exclusively to the laws applicable to''.

     SEC. 416. COVERAGE UNDER DIVIDED RETIREMENT SYSTEM FOR PUBLIC 
                   EMPLOYEES IN KENTUCKY.

       (a) In General.--Section 218(d)(6)(C) of the Social 
     Security Act (42 U.S.C. 418(d)(6)(C)) is amended by inserting 
     ``Kentucky,'' after ``Illinois,''.
       (b) Effective Date.--The amendment made by subsection (a) 
     takes effect on January 1, 2003.

     SEC. 417. COMPENSATION FOR THE SOCIAL SECURITY ADVISORY 
                   BOARD.

       (a) In General.--Subsection (f) of section 703 of the 
     Social Security Act (42 U.S.C. 903(f)) is amended to read as 
     follows:

                 ``Compensation, Expenses, and Per Diem

       ``(f) A member of the Board shall, for each day (including 
     traveltime) during which the member is attending meetings or 
     conferences of the Board or otherwise engaged in the business 
     of the Board, be compensated at the daily rate of basic pay 
     for level IV of the Executive Schedule for each day during 
     which the member is engaged in performing a function of the 
     Board. While serving on business of the Board away from their 
     homes or regular places of business, members may be allowed 
     travel expenses, including per diem in lieu of subsistence, 
     as authorized by section 5703 of title 5, United States Code, 
     for persons in the Government employed intermittently.''.
       (b) Effective Date.--The amendment made by this section 
     shall be effective as of January 1, 2002.

     SEC. 418. 60-MONTH PERIOD OF EMPLOYMENT REQUIREMENT FOR 
                   APPLICATION OF GOVERNMENT PENSION OFFSET 
                   EXEMPTION.

       (a) Wife's Insurance Benefits.--Section 202(b)(4)(A) of the 
     Social Security Act (42 U.S.C. 402(b)(4)(A)) is amended by 
     striking ``if, on'' and inserting ``if, during any portion of 
     the last 60 months of such service prior to''.
       (b) Husband's Insurance Benefits.--Section 202(c)(2)(A) of 
     such Act (42 U.S.C. 402(c)(2)(A)) is amended by striking 
     ``if, on'' and inserting ``if, during any portion of the last 
     60 months of such service prior to''.
       (c) Widow's Insurance Benefits.--Section 202(e)(7)(A) of 
     such Act (42 U.S.C. 402(e)(7)(A)) is amended by striking 
     ``if, on'' and inserting ``if, during any portion of the last 
     60 months of such service prior to''.
       (d) Widower's Insurance Benefits.--Section 202(f)(2)(A) of 
     such Act (42 U.S.C. 402(f)(2)(A)) is amended by striking 
     ``if, on'' and inserting ``if, during any portion of the last 
     60 months of such service prior to''.
       (e) Mother's and Father's Insurance Benefits.--Section 
     202(g)(4)(A) of the such Act (42 U.S.C. 402(g)(4)(A)) is 
     amended by striking ``if, on'' and inserting ``if, during any 
     portion of the last 60 months of such service prior to''.
       (f) Effective Date.--The amendments made by this section 
     shall apply with respect to applications for benefits under 
     title II of the Social Security Act filed on or after the 
     first day of the first month that begins after the date of 
     enactment of this Act, except that such amendments shall not 
     apply to individuals whose last day of employment while in 
     the service of any State (or political subdivision thereof, 
     as defined in section 218(b)(2) of the Social Security Act 
     (42 U.S.C. 418(b)(2))) constitutes covered employment (as 
     defined in section 210 of such Act (42 U.S.C. 410)) and 
     occurs on or before June 30, 2003, provided that such period 
     of covered employment for such governmental entity began on 
     or before December 31, 2002.

                    Subtitle C--Technical Amendments

     SEC. 421. TECHNICAL CORRECTION RELATING TO RESPONSIBLE AGENCY 
                   HEAD.

       Section 1143 of the Social Security Act (42 U.S.C. 1320b-
     13) is amended--
       (1) by striking ``Secretary'' the first place it appears 
     and inserting ``Commissioner of Social Security''; and
       (2) by striking ``Secretary'' each subsequent place it 
     appears and inserting ``Commissioner''.

     SEC. 422. TECHNICAL CORRECTION RELATING TO RETIREMENT 
                   BENEFITS OF MINISTERS.

       (a) In General.--Section 211(a)(7) of the Social Security 
     Act (42 U.S.C. 411(a)(7)) is amended by inserting ``, but 
     shall not include in any such net earnings from self-
     employment the rental value of any parsonage or any parsonage 
     allowance (whether or not excluded under section 107 of the 
     Internal Revenue Code of 1986) provided after the individual 
     retires, or any other retirement benefit received by such 
     individual from a church plan (as defined in section 414(e) 
     of such Code) after the individual retires'' before the 
     semicolon.
       (b) Effective Date.--The amendment made by this section 
     shall apply to years beginning before, on, or after December 
     31, 1994.

     SEC. 423. TECHNICAL CORRECTIONS RELATING TO DOMESTIC 
                   EMPLOYMENT.

       (a) Amendment to Internal Revenue Code.--Section 
     3121(a)(7)(B) of the Internal Revenue Code of 1986 is amended 
     by striking ``described in subsection (g)(5)'' and inserting 
     ``on a farm operated for profit''.
       (b) Amendment to Social Security Act.--Section 209(a)(6)(B) 
     of the Social Security Act (42 U.S.C. 409(a)(6)(B)) is 
     amended by striking ``described in section 210(f)(5)'' and 
     inserting ``on a farm operated for profit''.
       (c) Conforming Amendment.--Section 3121(g)(5) of such Code 
     and section 210(f)(5) of such Act (42 U.S.C. 410(f)(5)) are 
     amended by striking ``or is domestic service in a private 
     home of the employer''.

     SEC. 424. TECHNICAL CORRECTIONS OF OUTDATED REFERENCES.

       (a) Correction of Terminology and Citations Respecting 
     Removal From the

[[Page 22902]]

     United States.--Section 202(n) of the Social Security Act (42 
     U.S.C. 402(n)) (as amended by section 412) is amended 
     further--
       (1) by striking ``deportation'' each place it appears and 
     inserting ``removal'';
       (2) by striking ``deported'' each place it appears and 
     inserting ``removed'';
       (3) in paragraph (1) (in the matter preceding subparagraph 
     (A)), by striking ``under section 241(a) (other than under 
     paragraph (1)(C) thereof)'' and inserting ``under section 
     237(a) (other than paragraph (1)(C) thereof) or 
     212(a)(6)(A)'';
       (4) in paragraph (2), by striking ``under any of the 
     paragraphs of section 241(a) of the Immigration and 
     Nationality Act (other than under paragraph (1)(C) thereof)'' 
     and inserting ``under any of the paragraphs of section 237(a) 
     of the Immigration and Nationality Act (other than paragraph 
     (1)(C) thereof) or under section 212(a)(6)(A) of such Act'';
       (5) in paragraph (3)--
       (A) by striking ``paragraph (19) of section 241(a)'' and 
     inserting ``subparagraph (D) of section 237(a)(4)''; and
       (B) by striking ``paragraph (19)'' and inserting 
     ``subparagraph (D)''; and
       (6) in the heading, by striking ``Deportation'' and 
     inserting ``Removal''.
       (b) Correction of Citation Respecting the Tax Deduction 
     Relating to Health Insurance Costs of Self-Employed 
     Individuals.--Section 211(a)(15) of such Act (42 U.S.C. 
     411(a)(15)) is amended by striking ``section 162(m)'' and 
     inserting ``section 162(l)''.
       (c) Elimination of Reference to Obsolete 20-Day 
     Agricultural Work Test.--Section 3102(a) of the Internal 
     Revenue Code of 1986 is amended by striking ``and the 
     employee has not performed agricultural labor for the 
     employer on 20 days or more in the calendar year for cash 
     remuneration computed on a time basis''.

     SEC. 425. TECHNICAL CORRECTION RESPECTING SELF-EMPLOYMENT 
                   INCOME IN COMMUNITY PROPERTY STATES.

       (a) Social Security Act Amendment.--Section 211(a)(5)(A) of 
     the Social Security Act (42 U.S.C. 411(a)(5)(A)) is amended 
     by striking ``all of the gross income'' and all that follows 
     and inserting ``the gross income and deductions attributable 
     to such trade or business shall be treated as the gross 
     income and deductions of the spouse carrying on such trade or 
     business or, if such trade or business is jointly operated, 
     treated as the gross income and deductions of each spouse on 
     the basis of their respective distributive share of the gross 
     income and deductions;''.
       (b) Internal Revenue Code of 1986 Amendment.--Section 
     1402(a)(5)(A) of the Internal Revenue Code of 1986 is amended 
     by striking ``all of the gross income'' and all that follows 
     and inserting ``the gross income and deductions attributable 
     to such trade or business shall be treated as the gross 
     income and deductions of the spouse carrying on such trade or 
     business or, if such trade or business is jointly operated, 
     treated as the gross income and deductions of each spouse on 
     the basis of their respective distributive share of the gross 
     income and deductions; and''.

     SEC. 426. TECHNICAL AMENDMENTS RELATING TO THE RAILROAD 
                   RETIREMENT AND SURVIVORS IMPROVEMENT ACT OF 
                   2001.

       (a) Quorum Rules.--Section 15(j)(7) of the Railroad 
     Retirement Act of 1974 (45 U.S.C. 231n(j)(7)) is amended by 
     striking ``entire Board of Trustees'' and inserting 
     ``Trustees then holding office''.
       (b) Transfers.--
       (1) Section 15(k) of the Railroad Retirement Act of 1974 
     (45 U.S.C. 231n(k)) is amended by adding at the end the 
     following: ``At the direction of the Railroad Retirement 
     Board, the National Railroad Retirement Investment Trust 
     shall transfer funds to the Railroad Retirement Account.''.
       (2) Section 15A(d)(2) of the Railroad Retirement Act of 
     1974 (45 U.S.C. 231n-1(d)(2)) is amended--
       (A) by inserting ``or the Railroad Retirement Account'' 
     after ``National Railroad Retirement Investment Trust'' the 
     second place it appears;
       (B) by inserting ``or the Railroad Retirement Board'' after 
     ``National Railroad Retirement Investment Trust'' the third 
     place it appears; and
       (C) by inserting ``or the Railroad Retirement Board'' after 
     ``the Trust''.
       (c) Investment Authority.--Section 15(j)(4) of the Railroad 
     Retirement Act of 1974 (45 U.S.C. 231n(j)(4)) is amended by 
     striking ``shall'' and inserting ``may''.
       (d) Clerical.--
       (1) Subparagraphs (C) and (D) of section 15(j)(4) of the 
     Railroad Retirement Act of 1974 (45 U.S.C. 231n(j)(4)) are 
     each amended by striking ``assets in the Trust'' and 
     inserting ``assets of the Trust''.
       (2) Paragraph (5) of section 15(j) of the Railroad 
     Retirement Act of 1974 (45 U.S.C. 231n(j)(5)) is amended--
       (A) in subparagraph (B), by striking ``trustee's'' each 
     place it appears and inserting ``Trustee's'';
       (B) in subparagraph (C), by striking ``trustee'' and 
     ``trustees'' each place it appears and inserting ``Trustee'' 
     and ``Trustees'', respectively; and
       (C) in the matter preceding clause (i) of subparagraph (D), 
     by striking ``trustee'' and inserting ``Trustee''.
                                 ______
                                 
  SA 4968. Mrs. HUTCHISON (for Mr. Hollings (for himself and Mr. 
McCain)) proposed an amendment to the bill S. 2949, to provide for 
enhanced aviation security, and for other purposes; as follows:

     SECTION 1. SHORT TITLE; AMENDMENT OF TITLE 49.

       (A) Short Title.--This Act may be cited as the ``Aviation 
     Security Improvement Act''.
       (b) Amendment of Title 49.--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 title 49, 
     United States Code.

     SEC. 2. TABLE OF CONTENTS.

       The table of contents for this Act is as follows:

Sec. 1. Short title; amendment of title 49.
Sec. 2. Table of contents.

                      Title I--Air Cargo Security

Sec. 101. Inspection of cargo carried aboard passenger aircraft.
Sec. 102. Air cargo shipping.
Sec. 103. Cargo carried aboard passenger aircraft.
Sec. 104. Training program for cargo handlers.
Sec. 105. Cargo carried aboard all-cargo aircraft.

                   Title II--Passenger Identification

Sec. 201. Passenger identification.
Sec. 202. Passenger identification verification.

              Title III--Circumvention of Airport Security

Sec. 301. Prohibition on unauthorized circumvention of airport security 
              systems and procedures.

          Title VI--Blast Resistant Cargo Container Technology

Sec. 401. Blast-resistant cargo container technology.

                        Title V--Flight Schools

Sec. 501. Modification of requirements regarding training to operate 
              aircraft.

                        Title VI--Miscellaneous

Sec. 601. FAA Notice to Airmen FDC 2/0199.

                    Title VII--Technical Corrections

Sec. 701. Technical corrections.
                      TITLE I--AIR CARGO SECURITY

     SEC. 101. INSPECTION OF CARGO CARRIED ABOARD PASSENGER 
                   AIRCRAFT.

       Section 44901(f) is amended to read as follows: ``(f) 
     Cargo.
       ``(1) In general.--The Under Secretary of Transportation 
     for Security shall establish systems to screen, inspect, or 
     otherwise ensure the security of all cargo that is to be 
     transported in--
       ``(A) passenger aircraft operated by an air carrier for 
     foreign air carrier in air transportation or intrastate air 
     transportation; or
       ``(B) all-cargo aircraft in air transportation and 
     intrastate air transportation.
       ``(2) Strategic plan.--The Under Secretary shall develop a 
     strategic plan to carry out paragraph (1).''.

     SEC. 102. AIR CARGO SHIPPING.

       (a) In General.--Subchapter I of chapter 449, is amended by 
     adding at the end the following:

     Sec. 44921. Regular inspections of air cargo shipping 
       facilities

       ``The Under Secretary of Transportation for Security shall 
     establish a system for the regular inspection of shipping 
     facilities for shipments of cargo transported in air 
     transportation or intrastate air transportation to ensure 
     that appropriate security controls, systems, and protocols 
     are observed, and shall enter into arrangements with the 
     civil aviation authorities, or other appropriate officials, 
     of foreign countries to ensure that inspections are conducted 
     on a regular basis at shipping facilities for cargo 
     transported in air transportation to the United States.''.
       (b) Additional Inspectors.--The Under Secretary may 
     increase the number of inspectors as necessary to implement 
     the requirements of title 49, United States Code, as amended 
     by this subtitle.
       (c) Conforming Amendment.--The chapter analysis for chapter 
     449 is amended by adding at the end the following:
       ``44921. Regular inspections of air cargo shipping 
     facilities''.

     SEC. 103. CARGO CARRIED ABOARD PASSENGER AIRCRAFT.

       (a) In General.--Subchapter I of chapter 449, is further 
     amended by adding at the end the following:

     Sec. 44922. Air cargo security

       ``(a) Database.--The Under Secretary of Transportation for 
     Security shall establish an industry-wide pilot program 
     database of known shippers of cargo that is to be transported 
     in passenger aircraft operated by an air carrier or foreign 
     air carrier in air transportation or intrastate air 
     transportation. The Under Secretary shall use the results of 
     the pilot program to improve the known shipper program.
       ``(b) Indirect air carriers.
       ``(1) Random Inspections.--The Under Secretary shall 
     conduct random audits, investigations, and inspections of 
     indirect air carrier facilities to determine if the indirect 
     air carriers are meeting the security requirements of this 
     title.

[[Page 22903]]

       ``(2) Ensuring compliance.--The Under Secretary may take 
     such actions as may be appropriate to promote and ensure 
     compliance with the security standards established under this 
     title.
       ``(3) Notice of failures.--The Under Secretary shall notify 
     the secretary of Transportation of any indirect air carrier 
     that fails to meet security standards established under this 
     title.
       ``(4) Suspension or revocation of certificate.--The 
     Secretary, as appropriate, shall suspend or revoke any 
     certificate or authority issued under chapter 411 to an 
     indirect air carrier immediately upon the recommendation of 
     the Under Secretary. Any indirect air carrier whose 
     certificate is suspended or revoked under this subparagraph 
     may appeal the suspension or revocation in accordance with 
     procedures established under this title for the appeal of 
     suspensions and revocations.
       ``(5) Indirect air carrier.--In this subsection, the term 
     `indirect air carrier' has the meaning given that term in 
     part 1548 of title 49, Code of Federal Regulations.
       ``(c) Consideration of Community Needs.--In implementing 
     air cargo security requirement under this title, the Under 
     Secretary may take into consideration the extraordinary air 
     transportation needs of small or isolated communities and 
     unique operational characteristics of carriers that serve 
     those communities.''.
       (b) Assessment of Indirect Air Carrier Program.--The Under 
     Secretary of Transportation for Security shall assess the 
     security aspects of the indirect air carrier program under 
     part 1548 of title 49, Code of Federal Regulations, and 
     report the result of the assessment, together with any 
     recommendations for necessary modifications of the program to 
     the Senate Committee on Commerce, Science, and Transportation 
     and the House of Representatives Committee on Transportation 
     and the House of Representatives Committee on Transportation 
     and Infrastructure within 45 days after the date of enactment 
     of this Act. The Under Secretary may submit the report and 
     recommendations in classified form.
       (c) Report to Congress on Random Audits.--The Under 
     Secretary of Transportation of Security shall report to the 
     Senate Committee on Commerce, Science, and Transportation and 
     House of Representatives Committees on Transportation and 
     Infrastructure on random screening, audits, and 
     investigations of air cargo security programs based on threat 
     assessments and other relevant information. The report may be 
     submitted in classified form.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary of Transportation such 
     sums as may be necessary to carry out this section.
       (e) Conforming Amendment.--The chapter analysis for chapter 
     449, as amended by section 102, is amended by adding at the 
     end the following:

``44922. Air cargo security''.

     SEC. 104. TRAINING PROGRAM FOR CARGO HANDLERS.

       The Under Secretary of Transportation for Security shall 
     establish a training program for any persons that handle air 
     cargo to ensure that the cargo is properly handled and safe-
     guarded from security breaches.

     SEC. 105. CARGO CARRIED ABOARD ALL-CARGO AIRCRAFT.

       (a) In General.--The Under Secretary of Transportation for 
     Security shall establish a program requiring that air 
     carriers operating all-cargo aircraft have an approved plan 
     for the security of their air operations area, the cargo 
     placed abroad such aircraft, and persons having access to 
     their aircraft on the ground or in flight.
       (b) Plan Requirements.--The plan shall include provisions 
     for--
       (1) security of each carrier's air operations areas and 
     cargo acceptance areas at the airports served;
       (2) background security checks for all employees with 
     access to the air operations area;
       (3) appropriate training for all employees and contractors 
     with security responsibilities;
       (4) appropriate screening of all flight crews and persons 
     transported abroad all-cargo aircraft;
       (5) security procedures for cargo placed on all-cargo 
     aircraft as provided in section 44901(f)(1)(B) of title 49, 
     United States Code; and
       (6) additional measures deemed necessary and appropriate by 
     the Under Secretary.
       (e) Confidential Industry Review and Comment.
       (1) Circulation of proposed program.
       The Under Secretary shall--
       (A) propose a program under subsection (a) within 90 days 
     after the date of enactment of this Act; and
       (B) distribute the proposed program, on a confidential 
     basis, to those air carriers and other employers to which the 
     program will apply.
       (2) Comment period.--Any person to which the proposed 
     program is distributed under paragraph (1) may provide 
     comments on the proposed program to the Under Secretary not 
     more than 60 days after it was received.
       (3) Final program.--The Under Secretary of Transportation 
     shall issue a final program under subsection (a) not later 
     than 45 days after the last date on which comments may be 
     provided under paragraph (2). The final program shall contain 
     time frames for the plans to be implemented by each air 
     carrier or employer to which it applies.
       (4) Suspension of procedural norms.--Neither chapter 5 of 
     title 5, United States Code, nor the Federal Advisory 
     Committee Act (5 U.S.C. App.) shall apply to the program 
     required by this section.
                   TITLE II--PASSENGER IDENTIFICATION

     SEC. 201. PASSENGER IDENTIFICATION.

       (a) In General.--Subchapter I of chapter 449, as amended by 
     title II of this Act, is further amended by adding at the end 
     the following:

     ``Sec. 44923. Passenger identification

       ``(a) In General.--Not later than 180 days after the date 
     of enactment of the Aviation Security Improvement Act, the 
     Under Secretary of Transportation for Security, in 
     consultation with the Administrator of the Federal Aviation 
     Administration, appropriate law enforcement, security, and 
     terrorism experts, representatives of air carriers and labor 
     organizations representing individuals employed in commercial 
     aviation, shall develop protocols to provide guidance for 
     detection of false or fraudulent passenger identification. 
     The protocols may consider new technology, current 
     identification measures, training of personnel, and issues 
     related to the types of identification available to the 
     public.
       ``(b) Air Carrier Programs.--Within 60 days after the Under 
     Secretary issues the protocols under subsection (a) in final 
     form, the Under Secretary shall provide them to each air 
     carrier. The Under Secretary shall establish a joint 
     government and industry council to develop recommendations on 
     how to implement the protocols. The Under Secretary shall 
     report to the Senate Committee on Commerce, Science, and 
     Transportation and the House of Representatives Committee on 
     Transportation and Infrastructure within 1 year after the 
     date of enactment of the Aviation Security Improvement Act on 
     the actions taken under this section.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     449, is amended by adding at the end the following:
``44923. Passenger identification''.

     SEC. 202. PASSENGER IDENTIFICATION VERIFICATION.

       (a) Requirement.--Subchapter I of chapter 449, is further 
     amended by adding at the end the following:

     ``Sec. 44924. Passenger identification verification

       ``(a) Program Required.--The Under Secretary of 
     Transportation for Security may establish and carry out a 
     program to require the installation and use at airports in 
     the United States of such identification verification 
     technologies as the Under Secretary considers appropriate to 
     assist in the screening of passengers boarding aircraft at 
     such airports.
       ``(b) Technologies Employed.--The identification 
     verification technologies required as part of the program 
     under subsection (a) may include identification scanners, 
     biometrics, retinal, iris, or facial scanners, or any other 
     technologies that the Under Secretary considers appropriate 
     for purposes of the program.
       ``(c) Commencement.--If the Under Secretary determines that 
     the implementation of such a program is appropriate, the 
     installation and use of identification verification 
     technologies under the program shall commence as soon as 
     practicable after the date of that determination.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     449 is amended by adding at the end the following:

``44924. Passenger identification verification''.
              TITLE III--CIRCUMVENTION OF AIRPORT SECURITY

     SEC. 301. PROHIBITION ON UNAUTHORIZED CIRCUMVENTION OF 
                   AIRPORT SECURITY SYSTEMS AND PROCEDURES.

       (a) Prohibition.--Section 46503 is amended--
       (1) by inserting ``(a) Interference With Security Screening 
     Personnel.--'' before ``An individual''; and
       (2) by adding at the end the following new subsection:
       ``(b) Unauthorized Circumvention of Security Systems and 
     Procedures.--An individual in an area within a commercial 
     service airport in the United States who intentionally 
     circumvents, in an unauthorized manner, a security system or 
     procedure in the airport shall be fined under title 18, 
     imprisoned for not more than 10 years, or both.''.
       (b) Conforming and Clerical Amendments.--
       (1) The section heading of that section is amended to read 
     as follows:

     ``Sec. 46503. Interference with security screening personnel; 
       unauthorized circumvention of security systems or 
       procedures''.

       (2) The chapter analysis for chapter 465 is amended by 
     striking the item relating to section 46503 and inserting the 
     following:

``46503. Inference with security screening personnel; unauthorized 
              circumvention of security systems or procedures''.

[[Page 22904]]


          TITLE IV--BLAST RESISTANT CARGO CONTAINER TECHNOLOGY

     SEC. 401. BLAST RESISTANT CARGO CONTAINER TECHNOLOGY

       Not later than 6 months after the date of enactment of this 
     Act, the Under Secretary of Transportation for Security, and 
     the Administrator of the Federal Aviation Administration, 
     shall jointly submit a report to Congress that--
       (1) evaluates blast-resistant cargo container technology to 
     protect against explosives in passenger luggage and cargo;
       (2) examines the advantages associated with this technology 
     in preventing the damage and loss of aircraft from terrorist 
     action, any operational impacts which may result 
     (particularly added weight and costs) and whether 
     alternatives exist to mitigate such impacts, and options 
     available to pay for this technology; and
       (3) provides recommendations on what further action, if 
     any, should be taken with respect to the use of blast-
     resistant cargo containers on passenger aircraft.
                        TITLE V--FLIGHT SCHOOLS

     SEC. 501 MODIFICATION OF REQUIREMENTS REGARDING TRAINING TO 
                   OPERATE AIRCRAFT.

       (a) Aliens Covered by Waiting Period.--Subsection (a) of 
     section 44939 is amended--
       (1) by resetting the text of subsection (a) after
       ``(a) Waiting Period.--'' as a new paragraph 2 ems from the 
     left margin;
       (2) by striking ``A person'' in that new paragraph and 
     inserting ``(1) In general.--A person'';
       (3) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively;
       (4) by striking ``any aircraft having a maximum 
     certificated takeoff weight of 12,500 pounds or more'' and 
     inserting ``an aircraft'';
       (5) by striking ``paragraph (1)'' in paragraph (1)(B), as 
     redesignated, and inserting ``subparagraph (A)'' and
       (6) by adding at the end the following:
       ``(2) Exception.--The requirements of paragraph (1) shall 
     not apply to an alien who--
       ``(A) has earned a Federal Aviation Administration type 
     rating in an aircraft; or
       ``(B) holds a current pilot's license or foreign equivalent 
     commercial pilot's license that permits the person to fly an 
     aircraft with a maximum certificated takeoff weight of more 
     than 12,500 pounds as defined by the International Civil 
     Aviation Organization in Annex 1 to the Convention on 
     International Civil Aviation.''.
       (b) Covered Training.--Section 44936(c) is amended to read 
     as follows:
       ``(c) Covered Training.
       ``(1) In general.--For purposes of subsection (a), training 
     includes in-flight training, in a simulator, and any other 
     form or aspect of training.
       ``(2) Exception.--For the purposes of subsection (a), 
     training does not include classroom instruction (also known 
     as ground training), which may be provided to an alien during 
     the 45-day period applicable to the alien under that 
     subsection.''.
       (c) Procedures.
       (1) In general.--Not later than 30 days after the date of 
     enactment of this Act, the Attorney General shall promulgate 
     regulations to implement section 113 of the Aviation and 
     Transportation Security Act.
       (2) Use of overseas facilities.--In order to implement the 
     amendments made to section 44939 of title 49, United States 
     Code, by this section, United States Embassies and Consulates 
     that have fingerprinting capability shall provide 
     fingerprinting services to aliens covered by that section if 
     the Attorney General requires their fingerprinting in the 
     administration of that section, and transmit the fingerprints 
     to the Department of Justice and any other appropriate 
     agency. The Attorney General of the United States shall 
     cooperate with the Secretary of State to carry out this 
     paragraph.
       (d) Effective Date.--Not later than 120 days after the date 
     of enactment of this Act, the Attorney General shall 
     promulgate regulations to implement the amendments made by 
     this section. The Attorney General may not interrupt or 
     prevent the training of any person described in section 
     44939(a)(1) of title 49, United States Code, who commenced 
     training on aircraft with a maximum certificated takeoff 
     weight of 12,500 pounds or less before, or within 120 days 
     after, the date of enactment of this Act unless the Attorney 
     General determines that the person represents a risk to 
     aviation or national security.
       (e) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary of Transportation and 
     the Attorney General shall jointly submit to the Senate 
     Committee on Commerce, Science, and Transportation and the 
     House of Representatives Committee on transportation and 
     Infrastructure a report on the effectiveness of the 
     activities carried out under section 44939 of title 49, 
     United States Code, as amended by this section, in reducing 
     risks to aviation and national security.
                        TITLE VI--MISCELLANEOUS

     SEC. 601. FAA NOTICE TO AIRMEN FDC 2/0199.

       (a) In General.--The Secretary of Transportation--
       (1) shall maintain in full force and effect the 
     restrictions imposed under Federal Aviation Administration 
     Notice to Airmen FDC 2/0199 (including any local Notices to 
     Airmen of similar effect or import), as those restrictions 
     are in effect on the date of enactment of this Act, for a 
     period of 180 days after that date;
       (2) shall rescind immediately any waivers or exemptions 
     from those restrictions that are in effect on the date of 
     enactment of this Act; and
       (3) may not grant any waivers or exemptions from those 
     restrictions, except--
       (A) as authorized by the air traffic control for 
     operational or safety purposes;
       (B) for operational purposes of an event, stadium, or other 
     venue, including (in the case of a sporting event) equipment 
     or parts, transport of team members, officials of the 
     governing body and immediate family members of team members 
     and officials to and from the event, stadium, or other venue;
       (C) for broadcast coverage for any broadcast rights holder;
       (D) for safety and security purposes of the event, stadium, 
     or other venue; or
       (E) to operate an aircraft in restricted airspace to the 
     extent necessary to arrive at or depart from an airport using 
     standard air traffic procedures.
       (b) Waivers.--Beginning no earlier than 180 days after the 
     date of enactment of this Act, the Secretary may modify or 
     terminate such restrictions, or issue waivers or exemptions 
     from such restrictions, if the Secretary promulgates, after 
     public notice and an opportunity for comment, a rule setting 
     for the standards under which the Secretary may grant a 
     waiver or exemption. Such standards shall provide a level of 
     security at least equivalent to that provided by the waiver 
     policy applied by the Secretary as of the date of enactment 
     of this Act.
       (c) Broadcast Contracts Not Affected.--Nothing in this 
     section shall be construed to affect contractual rights 
     pertaining to any broadcasting agreement.
                    TITLE VII--TECHNICAL CORRECTIONS

     SEC. 701. TECHNICAL CORRECTIONS.

       (a) Section 114(j)(1)(D) is amended by inserting ``Under'' 
     before ``Secretary''.
       (b) Section 115(c)(1) is amended--
       (1) by striking ``and ratify or disapprove''; and
       (2) by striking ``security'' the second place it appears 
     and inserting ``Security''.
       (c) Section 40109(b) is amended by striking ``40103(b)(1) 
     and (2), 40119, 44901, 44903, 44906, and 44935-44937'' and 
     inserting ``40103(b)(1) and (2) and 40119''.
       (d) Section 44901(e) is amended by striking ``subsection 
     (b)(1)(A)'' and inserting ``subsection (d)(1)(A)''.
       (e) Section 44901(g)(2) is amended by striking ``Except at 
     airports required to enter into agreements under subsection 
     (c), the'' and inserting ``the''.
       (f) Section 44903 is amended--
       (1) by striking ``Administrator'' in subsection (c)(3) and 
     inserting ``Under Secretary''; and
       (2) by redesignating the second subsection (h), subsection 
     (i), and the third subsection (h) as subsections (i), (j), 
     and (k), respectively.
       (g) Section 44909 is amended--
       (1) by striking ``Not later than March 16, 1991, the'' in 
     subsection (a)(1) and inserting ``The''; and
       (2) by inserting ``of Transportation for Security'' after 
     ``Under Secretary'' in subsection (c)(2)(F).
       (h) Section 44935 is amended--
       (1) by striking ``States;'' in subsection (e)(2)(a)(ii) and 
     inserting ``States or described in subparagraph (C);'';
       (2) by redesignating subparagraph subsection (e)(2)(C) as 
     subparagraph (D);
       (3) by inserting after subsection (e)(2)(B) the following:
       ``(C) Other individuals.--An individual is described in 
     this subparagraph if that individual--
       ``(i) is a national of the United States (as defined in 
     section 101(a)(22) of the Immigration and Nationality Act (8 
     U.S.C. 1101(a)(22)));
       ``(ii) was born in a territory of the United States;
       ``(iii) was honorably discharged from service in the Armed 
     Forces of the United States; or
       ``(iv) is an alien lawfully admitted for permanent 
     residence, as defined in section 101(a)(20) of the 
     Immigration and Nationality Act and was employed to perform 
     security screening services at an airport in the United 
     States on the date of enactment of the Aviation and 
     Transportation Security Act (Public Law 107-71).'';
       ``(4) by inserting ``and'' after the semicolon in 
     subsection (e)(2)(A) (iii);
       ``(5) by striking ``establish; and'' in subsection 
     (e)(2)(A)(iv) and inserting ``establish;
       ``(6) by striking subsection (e)(2)(A)(v);
       ``(7) by adding at the end of subsection (f)(1) the 
     following:
       ``(E) The individual shall be able to demonstrate daily a 
     fitness for duty without any impairment due to illegal drugs, 
     sleep deprivation, medication, or alcohol.''; and
       ``(8) by redesignating the second subsection (i) as 
     subsection (k).
       ``(i) Section 44936(a)(1)(A) is amended by striking 
     ``Transportation Security,'' and inserting ``Security,''.
       ``(j) Section 44940 is amended--
       ``(1) by striking ``Federal law enforcement personnel 
     pursuant to section 44903(h).'' in

[[Page 22905]]

     subsection (a)(1)(G) and inserting ``law enforcement 
     personnel pursuant to this title.'';
       ``(2) by inserting ``FOR'' after ``RULES'' in the caption 
     of subsection (d)(2); and
       ``(3) by striking subsection (d)(4) and inserting the 
     following:
       ``(4) Fee collection.--Fees may be collected under this 
     section as provided in advance in appropriations Acts.''.
       ``(k) Section 46301(a) is amended by adding at the end the 
     following:
       ``(8) Aviation security violations.--Notwithstanding 
     paragraphs (1) and (2) of this subsection, the maximum civil 
     penalty for violating chapter 449 or another requirement 
     under this title administered by the Under Secretary of 
     Transportation for Security is $10,000, except that the 
     maximum civil penalty is $25,000 in the case of a person 
     operating an aircraft for the transportation of passengers or 
     property for compensation (except an airman serving as an 
     airman).''.
       (l) Section 46301(d)(2) is amended--
       (1) by striking ``46302, 46303,'' in the first sentence;
       (2) by striking the second sentence and inserting ``The 
     Under Secretary of Transportation for Security may impose a 
     civil penalty for a violation of section 114(l), section 
     40113, 40119, chapter 449 (except sections 44902, 44903(d), 
     44907(a)-(d)(1)(A), 44907(c)(1)(C)-(F), 44908, and 44909), 
     section 46302, 463403, or 46318 of this title, or a 
     regulation prescribed or order issued under any of those 
     provisions.''.
       (m) Section 46301(g) is amended by striking ``Secretary'' 
     and inserting ``Secretary, the Under Secretary of 
     Transportation for Security,''.
       (n) Chapter 465 is amended--
       (1) by striking ``screening'' in the caption of section 
     46503; and
       (2) by striking ``screening'' in the item relating to 
     section 46503 in the chapter analysis.
       (o) Section 47115(i) is amended by striking ``non-federal'' 
     each place it appears and inserting ``non-Federal''.
       (p) Section 48107 is amended by striking ``section 
     44912(a)(4)(A).'' and inserting ``section 44912(a)(5)(A).''.
       (q) Sections 44903(i)(1) (as redesignated), 44942(b), and 
     44943(c) are each amended by striking ``Under Secretary for 
     Transportation Security'' each place it appears and inserting 
     ``Under Secretary''.
       (r) Section 44936 is amended by adding at the end the 
     following:
       ``(f) Protection of Privacy of Applicants and Employees.--
     The Under Secretary shall formulate and implement procedures 
     that are designed to prevent the transmission of information 
     not relevant to an applicant's or employee's qualifications 
     for unescorted access to secure areas of an airport when that 
     applicant or employee is undergoing a criminal history 
     records check.''.
       (s) Sections 44942(a)(1) and 44943(a) are each amended by 
     striking ``Under Secretary for Transportation security'' and 
     inserting ``Under Secretary of Transportation for Security''.
       (t) Subparagraphs (B) and (C) of section 44936(a)(1) are 
     each amended by striking ``Under Secretary of Transportation 
     for Transportation Security'' and inserting ``Under 
     Secretary''.
       (u) Section 44943(c) is amended by inserting ``and 
     Transportation'' after ``Aviation''.
       (v) Section 44942(b) is amended--
       (1) by striking ``(1) Performance plan and report.--'';
       (2) redesignating subparagraphs (A) and (B) as paragraphs 
     (1) and (2), respectively; and
       (3) redesignating clauses (i) and (ii) of paragraph (1), as 
     redesignated, as subparagraphs (A) and (B), respectively.
       (w) The chapter analysis for chapter 449 is amended by 
     inserting after the item relating to section 44941 the 
     following:

``44942. Performance goals and objectives
``44943. Performance management plans''.

       (x) Section 44944(a)(1) is amended by striking ``Under 
     Secretary of Transportation for Transportation Security'' and 
     inserting ``Under Secretary of Transportation for Security''.
       (y) Section 106(b)(2)(B) of the Aviation and Transportation 
     Security Acts is amended by inserting ``Under'' before 
     ``Secretary''.
       (z) Section 119(c) of the Aviation and Transportation 
     Security Act is amended by striking ``section 47192(3)(J)'' 
     and inserting ``section 47102(3)(J)''.
       (aa) Section 132(a) of the Aviation and Transportation 
     Security Act is amended by striking ``12,500 pounds or 
     more.'' and inserting ``more than 12,500 pounds.''.
                                 ______
                                 
  SA 4969. Mrs. HUTCHISON (for Mr. Hollings (for himself, Mr. 
Rockefeller, and Mr. McCain)) proposed an amendment to amendment SA 
4968 proposed by Mrs. Hutchison (for Mr. Hollings (for himself, and Mr. 
McCain)) to the bill S. 2949, to provide for enhanced aviation 
security, and for other purposes; as follows:

       At the end of the bill, add the following:
                     TITLE VIII--NTSB AUTHORIZATION

     SEC. 801. SHORT TITLE.

       This title may be cited as the ``National Transportation 
     Safety Board Reauthorization Act of 2002''.

     SEC. 802. AUTHORIZATION OF APPROPRIATIONS.

       (a) Fiscal Years 2003-2005.--Section 1118(a) of title 49, 
     United States Code, is amended--
       (1) by striking ``and''; and
       (2) by striking ``such sums to'' and inserting the 
     following: ``$73,325,000 for fiscal year 2003, $84,999,000 
     for fiscal year 2004, and $89,687,000 for fiscal year 2005. 
     Such sums shall''.
       (b) Emergency Fund.--Section 1118(b) of such title is 
     amended by striking the second sentence and inserting the 
     following: ``In addition, there are authorized to be 
     appropriated such sums as may be necessary to increase the 
     fund to, and maintain the fund at, a level not to exceed 
     $3,000,000.''.
       (c) NTSB Academy.--Section 1118 of such title is amended by 
     adding at the end the following:
       ``(c) Academy.--
       ``(1) Authorization.--There are authorized to be 
     appropriated to the Board for necessary expenses of the 
     National Transportation Safety Board Academy, not otherwise 
     provided for, $3,347,000 for fiscal year 2003, $4,896,000 for 
     fiscal year 2004, and $4,995,000 for fiscal year 2005. Such 
     sums shall remain available until expended.
       ``(2) Fees.--The Board may impose and collect such fees as 
     it determines to be appropriate for services provided by or 
     through the Academy.
       ``(3) Receipts credited as offsetting collections.--
     Notwithstanding section 3302 of title 31, any fee collected 
     under this paragraph--
       ``(A) shall be credited as offsetting collections to the 
     account that finances the activities and services for which 
     the fee is imposed;
       ``(B) shall be available for expenditure only to pay the 
     costs of activities and services for which the fee is 
     imposed; and
       ``(C) shall remain available until expended.
       ``(4) Refunds.--The Board may refund any fee paid by 
     mistake or any amount paid in excess of that required.''.
       (d) Report on Academy Operations.--The National 
     Transportation Safety Board shall transmit an annual report 
     to the Congress on the activities and operations of the 
     National Transportation Safety Board Academy.

     SEC. 803. ASSISTANCE TO FAMILIES OF PASSENGERS INVOLVED IN 
                   AIRCRAFT ACCIDENTS.

       (a) Relinquishment of Investigative Priority.--Section 1136 
     of title 49, United States Code, is amended by adding at the 
     end the following:
       ``(j) Relinquishment of Investigative Priority.--
       ``(1) General rule.--This section (other than subsection 
     (g)) shall not apply to an aircraft accident if the Board has 
     relinquished investigative priority under section 
     1131(a)(2)(B) and the Federal agency to which the Board 
     relinquished investigative priority is willing and able to 
     provide assistance to the victims and families of the 
     passengers involved in the accident.
       ``(2) Board assistance.--If this section does not apply to 
     an aircraft accident because the Board has relinquished 
     investigative priority with respect to the accident, the 
     Board shall assist, to the maximum extent possible, the 
     agency to which the Board has relinquished investigative 
     priority in assisting families with respect to the 
     accident.''.
       (b) Revision of MOU.--Not later than 1 year after the date 
     of enactment of this Act, the National Transportation Safety 
     Board and the Federal Bureau of Investigation shall revise 
     their 1977 agreement on the investigation of accidents to 
     take into account the amendments made by this section and 
     shall submit a copy of the revised agreement to the Committee 
     on Transportation and Infrastructure of the House of 
     Representatives and the Committee on Commerce, Science, and 
     Transportation of the Senate.

     SEC. 804. RELIEF FROM CONTRACTING REQUIREMENTS FOR 
                   INVESTIGATIONS SERVICES.

       Section 1113(b) of title 49, United States Code, is 
     amended--
       (1) by striking ``Statutes;'' in paragraph (1)(B) and 
     inserting ``Statutes, and, for investigations conducted under 
     section 1131, enter into such agreements or contracts without 
     regard to any other provision of law requiring competition if 
     necessary to expedite the investigation;''; and
       (2) by adding at the end the following:
       ``(3) The Board, as a component of its annual report under 
     section 1117, shall include an enumeration of each contract 
     for $25,000 or more executed under this section during the 
     preceding calendar year.''.
                    TITLE IX--CHILD PASSENGER SAFETY

     SEC. 901. SHORT TITLE.

       This title may be cited as ``Anton's Law''.

     SEC. 902. IMPROVEMENT OF SAFETY OF CHILD RESTRAINTS IN 
                   PASSENGER MOTOR VEHICLES.

       (a) In General.--Not later than 12 months after the date of 
     the enactment of this Act, the Secretary of Transportation 
     shall initiate a rulemaking proceeding to establish 
     performance requirements for child restraints, including 
     booster seats, for the restraint of children weighing more 
     than 50 pounds.
       (b) Elements for Consideration.--In the rule-making 
     proceeding required by subsection (a), the Secretary shall--
       (1) consider whether to include injury performance criteria 
     for child restraints, including booster seats and other 
     products for

[[Page 22906]]

     use in passenger motor vehicles for the restraint of children 
     weighing more than 40 pounds, under the requirements 
     established in the rulemaking proceeding;
       (2) consider whether to establish performance requirements 
     for seat belt fit when used with booster seats and other belt 
     guidance devices;
       (3) consider whether to develop a solution for children 
     weighing more than 40 pounds who only have access to seating 
     positions with lap belts, such as allowing tethered child 
     restraints for such children; and
       (4) review the definition of the term ``booster seat'' in 
     Federal motor vehicle safety standard No. 213 under section 
     571.213 of title 49, Code of Federal Regulation, to determine 
     if it is sufficiently comprehensive.
       (c) Completion.--The Secretary shall complete the 
     rulemaking proceeding required by subsection (a) not later 
     than 30 months after the date of the enactment of this Act.

     SEC. 903. REPORT ON DEVELOPMENT OF CRASH TEST DUMMY 
                   SIMULATING A 10-YEAR OLD CHILD.

       Not later than 120 days after the date of the enactment of 
     this Act, the Secretary of Transportation shall submit to the 
     Committee on Commerce, Science, and Transportation of the 
     Senate and the Committee on Energy and Commerce of the House 
     of Representatives a report on the current schedule and 
     status of activities of the Department of Transportation to 
     develop, evaluate, and certify a commercially available dummy 
     that simulates a 10-year old child for use in testing the 
     effectiveness of child restraints used in passenger motor 
     vehicles.

     SEC. 904. REQUIREMENTS FOR INSTALLATION OF LAP AND SHOULDER 
                   BELTS

       (a) In General.--Not later than 24 months after the date of 
     the enactment of this Act, the Secretary of Transportation 
     shall complete a rulemaking proceeding to amend Federal motor 
     vehicle safety standard No. 208 under section 571.208 of 
     title 49, Code of Federal Regulations, relating to occupant 
     crash protection, in order to--
       (1) require a lap and shoulder belt assembly for each rear 
     designated seating position in a passenger motor vehicle with 
     a gross vehicle weight rating of 10,000 pounds or less, 
     except that if the Secretary determines that installation of 
     a lap and shoulder belt assembly is not practicable for a 
     particular designated seating position in a particular type 
     of passenger motor vehicle, the Secretary may exclude the 
     designated seating position from the requirement; and
       (2) apply the requirement to passenger motor vehicles in 
     phases in accordance with the subsection (b).
       (b) Implementation Schedule.--The requirement prescribed 
     under subsection (a)(1) shall be implemented in phases on a 
     production year basis beginning with the production year that 
     begins not later than 12 months after the end of the year in 
     which the regulations are prescribed under subsection (a). 
     The final rule shall apply to all passenger motor vehicles 
     with a gross vehicle weight rating of 10,000 pounds or less 
     that are manufactured in the third production year of the 
     implementation phase-in under the schedule.
       (c) Report on Determination To Exclude.
       (1) Requirement.--If the Secretary determines under 
     subsection (a)(1) that installation of a lap and shoulder 
     belt assembly is not practicable for a particular designated 
     seating position in a particular type of motor vehicle, the 
     Secretary shall submit to the Committee on Commerce, Science, 
     and Transportation of the Senate and the Committee on Energy 
     and Commerce of the House of Representatives a report 
     specifying the reasons for the determination.
       (2) Deadline.--The report under paragraph (1) shall be 
     submitted, if at all, not later than 30 days after the date 
     on which the Secretary issues a final rule under subsection 
     (a).

     SEC. 905. TWO-YEAR EXTENSION OF CHILD PASSENGER PROTECTION 
                   EDUCATION GRANTS PROGRAM.

       Section 2003(b)(7) of the Transportation Equity Act for the 
     21st Century (23 U.S.C. 405 note; 112 Stat. 328) is amended 
     by striking ``and 2001.'' and inserting ``through 2004.''

     SEC. 906. GRANTS FOR IMPROVING CHILD PASSENGER SAFETY 
                   PROGRAMS.

       (a) In General.--Chapter 4 of title 23, United States Code, 
     is amended by adding at the end the following new section:

     ``Sec. 412. Grant program for improving child passenger 
       safety programs

       ``(a) Standards and Requirements Regarding Child Restraint 
     Laws.--Not later than October 1, 2003, the Secretary shall 
     establish appropriate criteria applicable to child restraint 
     laws for purposes of eligibility for grants under this 
     seciton. The criteria shall be consistent with the provisions 
     of Anton's Law.
       ``(b) Requirement To Make Grants.
       ``(1) In general.--The Secretary shall make a grant to each 
     State and Indian tribe that, as determined by the Secretary, 
     has a child restraint law in effect on September 30, 2004.
       ``(2) Limitation on number of grants. Not more than one 
     grant may be made to a State or Indian tribe under this 
     section.
       ``(3) Commencement.--The requirement in paragraph (1) shall 
     commence on October 1, 2004.
       ``(c) Grant Amount.--The amount of the grant to a State or 
     Indian tribe under this section shall be the amount equal to 
     five times the amount provided to the State or Indian tribe, 
     as the case may be, under section 2003(b)(7) of the 
     Transportation Equity Act for the 21st Century (23 U.S.C. 405 
     note) in fiscal year 2003.
       ``(d) Use of Grant Amounts.--
       ``(1) In general.--A State or Indian tribe shall use any 
     amount received by the State or Indian tribe, as the case may 
     be, under this section to carry out child passenger 
     protection programs for children under the age of 16 years, 
     including programs for purposes as follows:
       ``(A) To educate the public concerning the proper use and 
     installation of child restraints, including booster seats.
       ``(B) To train and retain child passenger safety 
     professionals, police officers, fire and emergency medical 
     personnel, and educators concerning all aspects of the use of 
     child restraints.
       ``(C) To provide child restraint systems, including booster 
     seats and the hardware needed for their proper installation, 
     to families that cannot otherwise afford such systems.
       ``(D) To support enforcement of the child restraint law 
     concerned.
       ``(2) Limitation on federal share.--The Federal share of 
     the cost of a program under paragraph (1) that is carried out 
     using amounts from a grant under this section may not exceed 
     80 percent of the cost of the program.
       ``(e) Administrative Expenses.--The amount of 
     administrative expenses under this section in any fiscal year 
     may not exceed the amount equal to five percent of the amount 
     available for making grants under this section in the fiscal 
     year.
       ``(f) Applicability of Chapter 1.--The provisions of 
     section 402(d) of this title shall apply to funds authorized 
     to be appropriated to make grants under this section as if 
     such funds were highway safety funds authorized to be 
     appropriated to carry out section 402 of this title.
       ``(g) Definitions.--In this section:
       ``(1) Child restraint law.--The term `child restraint law' 
     means a law that--
       ``(A) satisfies standards established by the Secretary 
     under Anton's Law for the proper restraint of children who 
     are over the age of 3 years or who weigh at least 40 pounds;
       ``(B) prescribes a penalty for operating a passenger motor 
     vehicle in which any occupant of the vehicle who is under the 
     age of 16 years is not properly restrained in an appropriate 
     restraint system (including seat belts, booster seats used in 
     combination with seat belts, or other child restraints); and
       ``(C) meets any criteria established by the Secretary under 
     subsection (a) for purposes of this section.
       ``(2) Passenger motor vehicle.--The term `passenger motor 
     vehicle' has the meaning given that term in section 405(f)(5) 
     of this title.
       ``(3) State.--The term `State' has the meaning given in 
     section 101 of this title and includes any Territory or 
     possession of the United States.''.
       (b) Clerical Amendment.--The table of sections at the 
     beginning of that chapter is amended by inserting after the 
     item relating to section 411 the following new item:

``412. Grant program for improving child passenger safety programs.''.

     SEC. 907. DEFINITIONS.

       In this title:
       (1) Child restraint.--The term ``child restraint'' means 
     any product designed to provide restraint to a child 
     (including booster seats and other products used with a lap 
     and shoulder belt assembly) that meets applicable Federal 
     motor vehicle safety standards prescribed by the National 
     Highway Traffic Safety Administration.
       (2) Production year.--The term ``production year'' means 
     the 12-month period between September 1 of a year and August 
     31 of the following year.
       (3) Passenger motor vehicle.--The term ``passenger motor 
     vehicle'' has the meaning given that term in section 
     405(f)(5) of title 23, United States Code.

     SEC. 908. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Secretary of 
     Transportation such sums as may be necessary to carry out 
     this title, including the making of grants under section 412 
     of title 23, United States Code, as added by section 906.

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