[Congressional Record (Bound Edition), Volume 149 (2003), Part 19]
[Senate]
[Pages 26955-26988]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 2053. Mr. SHELBY (for himself and Mr. Sarbanes) proposed an 
amendment to the bill S. 1753, to amend the Fair Credit Reporting Act 
in order to prevent identity theft, to improve the use of and consumer 
access to consumer reports, to enhance the accuracy of consumer 
reports, to limit the sharing of certain consumer information, to 
improve financial education and literacy, and for other purposes; as 
follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``National 
     Consumer Credit Reporting System Improvement Act of 2003''.
       (b) Table of Contents.--The table of contents for this Act 
     is as follows:

Sec. 1. Short title; table of contents.

   TITLE I--IDENTITY THEFT PREVENTION AND CREDIT HISTORY RESTORATION

                 Subtitle A--Identity Theft Prevention

Sec. 111. Definitions.
Sec. 112. Fraud alerts and active duty alerts.
Sec. 113. Truncation of credit card and debit card account numbers.
Sec. 114. Establishment of procedures for the identification of 
              possible instances of identity theft.
Sec. 115. Amendments to existing identity theft prohibition.
Sec. 116. Authority to truncate social security numbers.

Subtitle B--Protection and Restoration of Identity Theft Victim Credit 
                                History

Sec. 151. Summary of rights of identity theft victims.
Sec. 152. Blocking of information resulting from identity theft.
Sec. 153. Coordination of identity theft complaint investigations.
Sec. 154. Prevention of repollution of consumer reports.
Sec. 155. Notice by debt collectors with respect to fraudulent 
              information.
Sec. 156. Statute of limitations.

    TITLE II--IMPROVEMENTS IN USE OF AND CONSUMER ACCESS TO CREDIT 
                              INFORMATION

Sec. 211. Free credit reports.
Sec. 212. Credit scores.
Sec. 213. Enhanced disclosure of the means available to opt out of 
              prescreened lists.
Sec. 214. Affiliate sharing.
Sec. 215. Study of effects of credit scores and credit-based insurance 
              scores on availability and affordability of financial 
              products.

    TITLE III--ENHANCING THE ACCURACY OF CONSUMER REPORT INFORMATION

Sec. 311. Risk-based pricing notice.
Sec. 312. Procedures to enhance the accuracy and completeness of 
              information furnished to consumer reporting agencies.
Sec. 313. Federal Trade Commission and consumer reporting agency action 
              concerning complaints.

[[Page 26956]]

Sec. 314. Ongoing audits of the accuracy of consumer reports.
Sec. 315. Improved disclosure of the results of reinvestigation.
Sec. 316. Reconciling addresses.
Sec. 317. FTC study of issues relating to the Fair Credit Reporting 
              Act.

 TITLE IV--LIMITING THE USE AND SHARING OF MEDICAL INFORMATION IN THE 
                            FINANCIAL SYSTEM

Sec. 411. Protection of medical information in the financial system.
Sec. 412. Confidentiality of medical contact information in consumer 
              reports.

         TITLE V--FINANCIAL LITERACY AND EDUCATION IMPROVEMENT

Sec. 511. Short title.
Sec. 512. Definitions.
Sec. 513. Establishment of Financial Literacy and Education Commission.
Sec. 514. Duties of the Commission.
Sec. 515. Powers of the Commission.
Sec. 516. Commission personnel matters.
Sec. 517. Study by the Comptroller General.
Sec. 518. Authorization of appropriations.

                    TITLE VI--RELATION TO STATE LAW

Sec. 611. Relation to State law.

                        TITLE VII--MISCELLANEOUS

Sec. 711. Clerical amendments.

   TITLE I--IDENTITY THEFT PREVENTION AND CREDIT HISTORY RESTORATION

                 Subtitle A--Identity Theft Prevention

     SEC. 111. DEFINITIONS.

       Section 603 of the Fair Credit Reporting Act (15 U.S.C. 
     1681a) is amended by adding at the end the following:
       ``(q) Definitions Relating to Fraud Alerts.--
       ``(1) Active duty military consumer.--The term `active duty 
     military consumer' means a consumer in military service who--
       ``(A) is on active duty (as defined in section 101(d)(1) of 
     title 10, United States Code) or is a reservist performing 
     duty under a call or order to active duty under a provision 
     of law referred to in section 101(a)(13) of title 10, United 
     States Code; and
       ``(B) is assigned to service away from the usual duty 
     station of the consumer.
       ``(2) Fraud alert; active duty alert.--The terms `fraud 
     alert' and `active duty alert' mean a statement in the file 
     of a consumer that--
       ``(A) notifies all prospective users of a consumer report 
     relating to the consumer that the consumer may be a victim of 
     fraud, including identity theft, or is an active duty 
     military consumer, as applicable;
       ``(B) provides to all prospective users of a consumer 
     report relating to the consumer, a telephone number or other 
     reasonable contact method designated by the consumer for the 
     user to obtain authorization from the consumer before 
     establishing new credit (including providing any increase in 
     a credit limit with respect to an existing credit account) in 
     the name of the consumer; and
       ``(C) is presented in a manner that facilitates a clear and 
     conspicuous view of the statement described in subparagraph 
     (A) or (B) by any person requesting such consumer report.
       ``(r) Credit Card.--The term `credit card' has the same 
     meaning as in section 103 of the Truth in Lending Act.
       ``(s) Debit Card.--The term `debit card' means any card 
     issued by a financial institution to a consumer for use in 
     initiating an electronic fund transfer from the account of 
     the consumer at such financial institution, for the purpose 
     of transferring money between accounts or obtaining money, 
     property, labor, or services.
       ``(t) Account and Electronic Fund Transfer.--The terms 
     `account' and `electronic fund transfer' have the same 
     meanings as in section 903 of the Electronic Fund Transfer 
     Act.
       ``(u) Credit and Creditor--The terms `credit' and 
     `creditor' have the same meanings as in section 702 of the 
     Equal Credit Opportunity Act.
       ``(v) Federal Banking Agencies.--The term `Federal banking 
     agencies' has the same meaning as in section 3 of the Federal 
     Deposit Insurance Act.
       ``(w) Financial Institution.--The term `financial 
     institution' means a State or National bank, a State or 
     Federal savings and loan association, a mutual savings bank, 
     a State or Federal credit union, or any other person that, 
     directly or indirectly, holds an account belonging to a 
     consumer.
       ``(x) Reseller.--The term `reseller' means a consumer 
     reporting agency that--
       ``(1) assembles and merges information contained in the 
     database of another consumer reporting agency or multiple 
     consumer reporting agencies concerning any consumer for 
     purposes of furnishing such information to any third party, 
     to the extent of such activities; and
       ``(2) does not maintain a database of the assembled or 
     merged information from which new consumer reports are 
     produced.
       ``(y) Definitions Relating to Credit Scores.--
       ``(1) Credit score and key factors.--When used in 
     connection with an application for an extension of credit for 
     a consumer purpose that is to be secured by a dwelling--
       ``(A) the term `credit score'--
       ``(i) means a numerical value or categorization derived 
     from a statistical tool or modeling system used to predict 
     the likelihood of certain credit behaviors, including 
     default; and
       ``(ii) does not include--

       ``(I) any mortgage score or rating of an automated 
     underwriting system that considers 1 or more factors in 
     addition to credit information, including the loan-to-value 
     ratio, the amount of down payment, or the financial assets of 
     a consumer; or
       ``(II) other elements of the underwriting process or 
     underwriting decision; and

       ``(B) the term `key factors' means all relevant elements or 
     reasons affecting the credit score for a consumer, listed in 
     the order of their importance, based on their respective 
     effects on the credit score.
       ``(2) Dwelling.--The term `dwelling' has the same meaning 
     as in section 103 of the Truth in Lending Act.
       ``(z) Identity Theft Report.--The term `identity theft 
     report' means a report--
       ``(1) that alleges an identity theft;
       ``(2) that is filed by a consumer with an appropriate 
     Federal, State, or local government agency, including the 
     United States Postal Inspection Service and any law 
     enforcement agency; and
       ``(3) the filing of which subjects the person filing the 
     report to criminal penalties relating to the filing of false 
     information if, in fact, the information in the report is 
     false.''.

     SEC. 112. FRAUD ALERTS AND ACTIVE DUTY ALERTS.

       The Fair Credit Reporting Act (15 U.S.C. 1681 et seq.) is 
     amended by inserting after section 605 the following:

     ``Sec. 605A. Identity theft prevention; fraud alerts and 
       active duty alerts

       ``(a) One-Call Fraud Alerts.--
       ``(1) Initial alerts.--Upon the request of a consumer who 
     asserts in good faith a suspicion that the consumer has been 
     or is about to become a victim of fraud or related crime, 
     including identity theft, a consumer reporting agency 
     described in section 603(p) that maintains a file on the 
     consumer and has received appropriate proof of the identity 
     of the requester shall--
       ``(A) include a fraud alert in the file of that consumer 
     for a period of not less than 90 days, beginning on the date 
     of such request, unless the consumer requests that such fraud 
     alert be removed before the end of such period, and the 
     agency has received appropriate proof of the identity of the 
     requester for such purpose; and
       ``(B) refer the information regarding the fraud alert under 
     this paragraph to each of the other consumer reporting 
     agencies described in section 603(p), in accordance with 
     procedures developed under section 621(f).
       ``(2) Access to free reports.--In any case in which a 
     consumer reporting agency includes a fraud alert in the file 
     of a consumer pursuant to this subsection, the consumer 
     reporting agency shall--
       ``(A) disclose to the consumer that the consumer may 
     request a free copy of the file of the consumer pursuant to 
     section 612(d); and
       ``(B) provide to the consumer all disclosures required to 
     be made under section 609, without charge to the consumer, 
     not later than 3 business days after any request described in 
     subparagraph (A).
       ``(b) Extended Alerts.--
       ``(1) In general.--Upon the request of a consumer who 
     submits an identity theft report to a consumer reporting 
     agency described in section 603(p) that maintains a file on 
     the consumer, if the agency has received appropriate proof of 
     the identity of the requester, the agency shall--
       ``(A) include a fraud alert in the file of that consumer 
     during the 7-year period beginning on the date of such 
     request, unless the consumer requests that such fraud alert 
     be removed before the end of such period and the agency has 
     received appropriate proof of the identity of the requester 
     for such purpose;
       ``(B) during the 7-year period beginning on the date of 
     such request, exclude the consumer from any list of consumers 
     prepared by the consumer reporting agency and provided to any 
     third party to offer credit or insurance to the consumer as 
     part of a transaction that was not initiated by the consumer, 
     unless the consumer requests that such exclusion be rescinded 
     before the end of such period; and
       ``(C) refer the information regarding the extended fraud 
     alert under this paragraph to each of the other consumer 
     reporting agencies described in section 603(p), in accordance 
     with procedures developed under section 621(f).
       ``(2) Verification of identity theft claim.--For purposes 
     of paragraph (1), a consumer reporting agency shall accept as 
     proof of a claim of identity theft, in lieu of an identity 
     theft report--
       ``(A) a properly completed copy of a standardized affidavit 
     of identity theft developed and made available by the Federal 
     Trade Commission; or
       ``(B) any affidavit of fact that is acceptable to the 
     consumer reporting agency for that purpose.
       ``(3) Access to free reports.--In any case in which a 
     consumer reporting agency includes a fraud alert in the file 
     of a consumer pursuant to this subsection, the consumer 
     reporting agency shall--
       ``(A) disclose to the consumer that the consumer may 
     request 2 free copies of the file of

[[Page 26957]]

     the consumer pursuant to section 612(d) during the 12-month 
     period beginning on the date on which the fraud alert was 
     included in the file; and
       ``(B) provide to the consumer all disclosures required to 
     be made under section 609, without charge to the consumer, 
     not later than 3 business days after any request described in 
     subparagraph (A).
       ``(c) Active Duty Alerts.--Upon the request of an active 
     duty military consumer, a consumer reporting agency described 
     in section 603(p) that maintains a file on the active duty 
     military consumer and has received appropriate proof of the 
     identity of the requester shall--
       ``(1) include an active duty alert in the file of that 
     active duty military consumer during a period of not less 
     than 12 months, beginning on the date of the request, unless 
     the active duty military consumer requests that such fraud 
     alert be removed before the end of such period, and the 
     agency has received appropriate proof of the identity of the 
     requester for such purpose;
       ``(2) during the 12-month period beginning on the date of 
     such request, exclude the active duty military consumer from 
     any list of consumers prepared by the consumer reporting 
     agency and provided to any third party to offer credit or 
     insurance to the consumer as part of a transaction that was 
     not initiated by the consumer, unless the consumer requests 
     that such exclusion be rescinded before the end of such 
     period; and
       ``(3) refer the information regarding the active duty alert 
     to each of the other consumer reporting agencies described in 
     section 603(p), in accordance with procedures developed under 
     section 621(f).
       ``(d) Procedures.--Each consumer reporting agency described 
     in section 603(p) shall establish policies and procedures to 
     comply with this section, including procedures that allow 
     consumers and active duty military consumers to request 
     temporary, extended, or active duty alerts (as applicable) in 
     a simple and easy manner, including by telephone.
       ``(e) Referrals of Fraud Alerts.--Each consumer reporting 
     agency described in section 603(p) that receives a referral 
     of a fraud alert or active duty alert from another consumer 
     reporting agency pursuant to this section shall, as though 
     the agency received the request from the consumer directly, 
     follow the procedures required under--
       ``(1) paragraphs (1)(A) and (2) of subsection (a), in the 
     case of a referral under subsection (a)(1)(B);
       ``(2) paragraphs (1)(A), (1)(B), and (3) of subsection (b), 
     in the case of a referral under subsection (b)(1)(C); and
       ``(3) paragraphs (1) and (2) of subsection (c), in the case 
     of a referral under subsection (c)(3).
       ``(f) Duty of Reseller To Reconvey Alert.--A reseller shall 
     include in its report any fraud alert or active duty alert 
     placed in the file of a consumer pursuant to this section by 
     another consumer reporting agency.
       ``(g) Duty of Other Consumer Reporting Agencies To Provide 
     Contact Information.--If a consumer contacts any consumer 
     reporting agency that is not described in section 603(p) to 
     communicate a suspicion that the consumer has been or is 
     about to become a victim of fraud or related crime, including 
     identity theft, the agency shall provide information to the 
     consumer on how to contact the Federal Trade Commission and 
     the consumer reporting agencies described in section 603(p) 
     to obtain more detailed information and request alerts under 
     this section.''.

     SEC. 113. TRUNCATION OF CREDIT CARD AND DEBIT CARD ACCOUNT 
                   NUMBERS.

       Section 605 of the Fair Credit Reporting Act (15 U.S.C. 
     1681c) is amended by adding at the end the following:
       ``(g) Truncation of Credit Card and Debit Card Numbers.--
       ``(1) In general.--Except as otherwise specifically 
     provided in this subsection, no person that accepts credit 
     cards or debit cards for the transaction of business shall 
     print more than the last 5 digits of the card account number 
     or the expiration date upon any receipt provided to the 
     cardholder at the point of the sale or transaction.
       ``(2) Limitation.--This subsection applies only to receipts 
     that are electronically printed, and does not apply to 
     transactions in which the sole means of recording a credit 
     card or debit card account number is by handwriting or by an 
     imprint or copy of the card.
       ``(3) Effective date.--This subsection shall become 
     effective--
       ``(A) 3 years after the date of enactment of this 
     subsection, with respect to any cash register or other 
     machine or device that electronically prints receipts for 
     credit card or debit card transactions that is in use before 
     January 1, 2005; and
       ``(B) 1 year after the date of enactment of this 
     subsection, with respect to any cash register or other 
     machine or device that electronically prints receipts for 
     credit card or debit card transactions that is first put into 
     use on or after January 1, 2005.''.

     SEC. 114. ESTABLISHMENT OF PROCEDURES FOR THE IDENTIFICATION 
                   OF POSSIBLE INSTANCES OF IDENTITY THEFT.

       (a) In General.--Section 615 of the Fair Credit Reporting 
     Act (15 U.S.C. 1681m) is amended--
       (1) by striking ``(e)'' at the end; and
       (2) by adding at the end the following:
       ``(e) Red Flag Guidelines and Regulations Required.--
       ``(1) Guidelines.--The Federal banking agencies, the 
     National Credit Union Administration, and the Federal Trade 
     Commission shall, with respect to the entities that are 
     subject to their respective enforcement authority under 
     section 621, and in coordination as described in paragraph 
     (2)--
       ``(A) establish and maintain guidelines for use by each 
     financial institution and each other person that is a 
     creditor or other user of a consumer report regarding 
     identity theft with respect to account holders at, or 
     customers of, such entities, and update such guidelines as 
     often as necessary; and
       ``(B) prescribe regulations requiring each financial 
     institution and each other person that is a creditor or other 
     user of a consumer report to establish reasonable policies 
     and procedures for implementing the guidelines established 
     pursuant to paragraph (1), to identify possible risks to 
     account holders or to the safety and soundness of the 
     institution or customers.
       ``(2) Coordination.--Each agency required to prescribe 
     regulations under paragraph (1) shall consult and coordinate 
     with each other such agency so that, to the extent possible, 
     the regulations prescribed by each such entity are consistent 
     and comparable with the regulations prescribed by each other 
     such agency.
       ``(3) Criteria.--In developing the guidelines required by 
     paragraph (1)(A), the agencies described in paragraph (1) 
     shall identify patterns, practices, and specific forms of 
     activity that indicate the possible existence of identity 
     theft.
       ``(4) Consistency with verification requirements.--Policies 
     and procedures established pursuant to paragraph (1) shall 
     not be inconsistent with, or duplicative of, the policies and 
     procedures required under section 5318(l) of title 31, United 
     States Code.
       ``(f) Investigation of Changes of Address.--
       ``(1) In general.--The Federal banking agencies, the 
     National Credit Union Administration, and the Federal Trade 
     Commission, in carrying out the responsibilities of such 
     agencies under subsection (e) shall, with respect to the 
     entities that are subject to their respective enforcement 
     authority under section 621, and in coordination as described 
     in paragraph (2), prescribe regulations applicable to card 
     issuers to ensure that, if any such card issuer receives a 
     request for an additional or replacement card for an existing 
     account not later than 30 days after the card issuer has 
     received notification of a change of address for the same 
     account, the card issuer will follow reasonable policies and 
     procedures that prohibit, as appropriate, the card issuer 
     from issuing the additional or replacement card, unless the 
     card issuer--
       ``(A) notifies the cardholder of the request at the former 
     address of the cardholder and provides to the cardholder a 
     means of promptly reporting incorrect address changes;
       ``(B) notifies the cardholder of the request by such other 
     means of communication as the cardholder and the card issuer 
     previously agreed to; or
       ``(C) uses other means of assessing the validity of the 
     change of address, in accordance with reasonable policies and 
     procedures established by the card issuer in accordance with 
     the regulations prescribed under subsection (e).
       ``(2) Coordination.--Each agency required to prescribe 
     regulations under paragraph (1) shall consult and coordinate 
     with each other such agency so that, to the extent possible, 
     the regulations prescribed by each such entity are consistent 
     and comparable with the regulations prescribed by each other 
     such agency.
       ``(3) Definition of card issuer.--For purposes of this 
     subsection, the term `card issuer' means--
       ``(A) any person who issues a credit card, or the agent of 
     such person with respect to such card; and
       ``(B) any person who issues a debit card.''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall take effect 1 year after the date of enactment of this 
     Act.

     SEC. 115. AMENDMENTS TO EXISTING IDENTITY THEFT PROHIBITION.

       Section 1028 of title 18, United States Code, is amended--
       (1) in subsection (a)(7)--
       (A) by striking ``transfers'' and inserting ``transfers, 
     possesses,''; and
       (B) by striking ``abet,'' and inserting ``abet, or in 
     connection with,'';
       (2) in subsection (b)(1)(D), by striking ``transfer'' and 
     inserting ``transfer, possession,''; and
       (3) in subsection (b)(2), by striking ``three years'' and 
     inserting ``5 years''.

     SEC. 116. AUTHORITY TO TRUNCATE SOCIAL SECURITY NUMBERS.

       Section 609(a)(1) of the Fair Credit Reporting Act (15 
     U.S.C. 1681g(a)(1)) is amended by striking ``except that 
     nothing'' and inserting the following: ``except that--
       ``(A) if the consumer to whom the file relates requests 
     that the first 5 digits of the social security number (or 
     similar identification number) of the consumer not be 
     included in the disclosure and the consumer reporting agency 
     has received appropriate

[[Page 26958]]

     proof of the identity of the requester, the consumer 
     reporting agency shall so truncate such number in such 
     disclosure; and
       ``(B) nothing''.

Subtitle B--Protection and Restoration of Identity Theft Victim Credit 
                                History

     SEC. 151. SUMMARY OF RIGHTS OF IDENTITY THEFT VICTIMS.

       (a) In General.--Section 609 of the Fair Credit Reporting 
     Act (15 U.S.C. 1681g) is amended by adding at the end the 
     following:
       ``(d) Summary of Rights of Identity Theft Victims.--
       ``(1) In general.--The Federal Trade Commission, in 
     consultation with the Federal banking agencies and the 
     National Credit Union Administration, shall prescribe the 
     form and content of a summary of the rights of consumers 
     under this title with respect to the procedures for remedying 
     the effects of fraud or identity theft involving credit, 
     electronic fund transfers, or accounts or transactions at or 
     with a financial institution.
       ``(2) Summary of rights and contact information.--If any 
     consumer contacts a consumer reporting agency and expresses a 
     belief that the consumer is a victim of fraud or identity 
     theft involving credit, an electronic fund transfer, or an 
     account or transaction at or with a financial institution, 
     the consumer reporting agency shall, in addition to any other 
     action that the agency may take, provide the consumer with 
     the model summary of rights prepared by the Federal Trade 
     Commission under paragraph (1) and information on how to 
     contact the Commission to obtain more detailed 
     information.''.
       (b) Public Campaign To Prevent Identity Theft.--Not later 
     than 2 years after the date of enactment of this Act, the 
     Federal Trade Commission shall establish and implement a 
     media and distribution campaign to teach the public how to 
     prevent identity theft. Such campaign shall include existing 
     Federal Trade Commission education materials, as well as 
     radio, television, and print public service announcements, 
     video cassettes, interactive digital video discs (DVD's) or 
     compact audio discs (CD's), and Internet resources.
       (c) Conforming Amendment.--Section 624(b)(3) of the Fair 
     Credit Reporting Act (15 U.S.C. 1681t(b)(3), regarding 
     relation to State laws) is amended by striking ``section 
     609(c)'' and inserting ``subsection (c) or (d) of section 
     609''.

     SEC. 152. BLOCKING OF INFORMATION RESULTING FROM IDENTITY 
                   THEFT.

       (a) In General.--The Fair Credit Reporting Act (15 U.S.C. 
     1681 et seq.) is amended by inserting after section 605A, as 
     added by this Act, the following:

     ``Sec. 605B. Block of information resulting from identity 
       theft

       ``(a) Block.--Except as otherwise provided in this section, 
     a consumer reporting agency shall block the reporting of any 
     information in the file of a consumer that the consumer 
     identifies as information that resulted from an alleged 
     identity theft, not later than 3 business days after the date 
     of receipt by such agency of--
       ``(1) appropriate proof of the identity of the consumer;
       ``(2) a copy of an identity theft report; and
       ``(3) the identification of such information by the 
     consumer.
       ``(b) Notification.--A consumer reporting agency shall 
     promptly notify the furnisher of information identified by 
     the consumer under subsection (a)--
       ``(1) that the information may be a result of identity 
     theft;
       ``(2) that an identity theft report has been filed;
       ``(3) that a block has been requested under this section; 
     and
       ``(4) of the effective dates of the block.
       ``(c) Authority To Decline or Rescind.--
       ``(1) In general.--A consumer reporting agency may decline 
     to block, or may rescind any block, of information relating 
     to a consumer under this section, if the consumer reporting 
     agency reasonably determines that--
       ``(A) the information was blocked in error or a block was 
     requested by the consumer in error;
       ``(B) the information was blocked, or a block was requested 
     by the consumer, on the basis of a material misrepresentation 
     of fact relevant to the request to block; or
       ``(C) the consumer obtained possession of goods, services, 
     or money as a result of the blocked transaction or 
     transactions.
       ``(2) Notification to consumer.--If a block of information 
     is declined or rescinded under this subsection, the affected 
     consumer shall be notified promptly, in the same manner as 
     consumers are notified of the reinsertion of information 
     under section 611(a)(5)(B).
       ``(3) Significance of block.--For purposes of this 
     subsection, if a consumer reporting agency rescinds a block, 
     the presence of information in the file of a consumer prior 
     to the blocking of such information is not evidence of 
     whether the consumer knew or should have known that the 
     consumer obtained possession of any goods, services, or money 
     as a result of the block.
       ``(d) Exception for Resellers.--
       ``(1) No reseller file.--This section shall not apply to a 
     consumer reporting agency, if the consumer reporting agency--
       ``(A) is a reseller;
       ``(B) is not, at the time of the request of the consumer 
     under subsection (a), otherwise furnishing or reselling a 
     consumer report concerning the information identified by the 
     consumer; and
       ``(C) informs the consumer, by any means, that the consumer 
     may report the identity theft to the Federal Trade Commission 
     to obtain consumer information regarding identity theft.
       ``(2) Reseller with file.--The sole obligation of the 
     consumer reporting agency under this section, with regard to 
     any request of a consumer under this section, shall be to 
     block the consumer report maintained by the consumer 
     reporting agency from any subsequent use, if--
       ``(A) the consumer, in accordance with the provisions of 
     subsection (a), identifies, to a consumer reporting agency, 
     information in the file of the consumer that resulted from 
     identity theft; and
       ``(B) the consumer reporting agency is a reseller of the 
     identified information.
       ``(3) Notice.--In carrying out its obligation under 
     paragraph (2), the reseller shall promptly provide a notice 
     to the consumer of the decision to block the file. Such 
     notice shall contain the name, address, and telephone number 
     of each consumer reporting agency from which the consumer 
     information was obtained for resale.
       ``(e) Exception for Verification Companies.--The provisions 
     of this section do not apply to a check services company, 
     acting as such, which issues authorizations for the purpose 
     of approving or processing negotiable instruments, electronic 
     fund transfers, or similar methods of payments, except that, 
     beginning 3 business days after receipt of information 
     described in paragraphs (1) through (3) of subsection (a), a 
     check services company shall not report to a national 
     consumer reporting agency described in section 603(p), any 
     information identified in the subject identity theft report 
     as resulting from identity theft.
       ``(f) Access to Blocked Information by Law Enforcement 
     Agencies.--No provision of this section shall be construed as 
     requiring a consumer reporting agency to prevent a Federal, 
     State, or local law enforcement agency from accessing blocked 
     information in a consumer file to which the agency could 
     otherwise obtain access under this title.''.
       (b) Clerical Amendment.--The table of sections for the Fair 
     Credit Reporting Act (15 U.S.C. 1681 et seq.) is amended by 
     inserting after the item relating to section 605 the 
     following new items:

``605A. Identity theft prevention; fraud alerts and active duty alerts.
``605B. Block of information resulting from identity theft.''.

     SEC. 153. COORDINATION OF IDENTITY THEFT COMPLAINT 
                   INVESTIGATIONS.

       Section 621 of the Fair Credit Reporting Act (15 U.S.C. 
     1681s) is amended by adding at the end the following:
       ``(f) Coordination of Consumer Complaint Investigations.--
       ``(1) In general.--Each consumer reporting agency described 
     in section 603(p) shall develop and maintain procedures for 
     the referral to each other such agency of any consumer 
     complaint received by the agency alleging identity theft, or 
     requesting a fraud alert under section 605A or a block under 
     section 605B.
       ``(2) Model form and procedure for reporting identity 
     theft.--The Federal Trade Commission, in consultation with 
     the Federal banking agencies and the National Credit Union 
     Administration, shall develop a model form and model 
     procedures to be used by consumers who are victims of 
     identity theft for contacting and informing creditors and 
     consumer reporting agencies of the fraud.
       ``(3) Annual summary reports.--Each consumer reporting 
     agency described in section 603(p) shall submit an annual 
     summary report to the Federal Trade Commission on consumer 
     complaints received by the agency on identity theft or fraud 
     alerts.''.

     SEC. 154. PREVENTION OF REPOLLUTION OF CONSUMER REPORTS.

       (a) Prevention of Reinsertion of Erroneous Information.--
       (1) Duties of furnishers upon notice of identity theft-
     related disputes.--Section 623(b) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681s-2(b)) is amended--
       (A) by redesignating paragraph (2) as paragraph (3);
       (B) by inserting after paragraph (1) the following:
       ``(2) Duties of furnishers upon notice of identity theft-
     related disputes.--A person that furnishes information to any 
     consumer reporting agency shall--
       ``(A) have in place reasonable procedures to respond to any 
     notification that it receives from a consumer reporting 
     agency under section 605B relating to information resulting 
     from identity theft, to prevent that person from refurnishing 
     such blocked information; and
       ``(B) take the actions described in subparagraphs (A) 
     through (D) of paragraph (1), if such person receives 
     directly from a consumer, an identity theft report or a 
     properly completed copy of a standardized affidavit of 
     identity theft developed and made available by the Federal 
     Trade Commission.''; and
       (C) in paragraph (3), as redesignated, by striking 
     ``paragraph (1)'' and inserting ``this subsection''.

[[Page 26959]]

       (2) Conforming amendments relating to notice of identity 
     theft directly from consumers.--Section 623(b)(1) of the Fair 
     Credit Reporting Act (15 U.S.C. 1681s-2(b)(1)) is amended--
       (A) in the matter preceding subparagraph (A), by inserting 
     ``or as described in paragraph (2)(B),'' after ``agency,'';
       (B) subparagraph (B), by inserting before the semicolon the 
     following: ``, and by the consumer, and other documentation 
     reasonably available to the person that is necessary to 
     conduct a reasonable investigation''; and
       (C) in subparagraph (C), by inserting before the semicolon 
     at the end the following: ``, and to the consumer, if notice 
     of the dispute was received directly from the consumer, as 
     described in paragraph (2)(B)''.
       (b) Prohibition on Sale or Transfer of Debt Caused by 
     Identity Theft.--Section 615 of the Fair Credit Reporting Act 
     (15 U.S.C. 1681m), as amended by this Act, is amended by 
     adding at the end the following:
       ``(g) Prohibition on Sale or Transfer of Debt Caused by 
     Identity Theft.--
       ``(1) In general.--No person shall sell, transfer for 
     consideration, or place for collection a debt that such 
     person has been notified under section 605B has resulted from 
     identity theft.
       ``(2) Applicability.--The prohibitions of this subsection 
     shall apply to all persons collecting a debt described in 
     paragraph (1) after the date of a notification under 
     paragraph (1).
       ``(3) Rule of construction.--Nothing in this subsection 
     shall be construed to prohibit--
       ``(A) the repurchase of a debt in any case in which the 
     assignee of the debt requires such repurchase because the 
     debt has resulted from identity theft;
       ``(B) the securitization of a debt; or
       ``(C) the transfer of debt as a result of a merger, 
     acquisition, purchase and assumption transaction, or transfer 
     of substantially all of the assets of an entity.''.

     SEC. 155. NOTICE BY DEBT COLLECTORS WITH RESPECT TO 
                   FRAUDULENT INFORMATION.

       Section 615 of the Fair Credit Reporting Act (15 U.S.C. 
     1681m), as amended by this Act, is amended by adding at the 
     end the following:
       ``(h) Debt Collector Communications Concerning Identity 
     Theft.--If a person acting as a debt collector (as that term 
     is defined in title VIII) on behalf of a third party that is 
     a creditor or other user of a consumer report is notified 
     that any information relating to a debt that the person is 
     attempting to collect may be fraudulent or may be the result 
     of identity theft, that person shall--
       ``(1) notify the third party that the information may be 
     fraudulent or may be the result of identity theft; and
       ``(2) upon request of the consumer to whom the debt 
     purportedly relates, provide to the consumer all information 
     to which the consumer would otherwise be entitled if the 
     consumer were not a victim of identity theft, but wished to 
     dispute the debt under provisions of law applicable to that 
     person.''.

     SEC. 156. STATUTE OF LIMITATIONS.

       Section 618 of the Fair Credit Reporting Act (15 U.S.C. 
     1681p) is amended to read as follows:

     ``Sec. 618. Jurisdiction of courts; limitation of actions

       ``An action to enforce any liability created under this 
     title may be brought in any appropriate United States 
     district court, without regard to the amount in controversy, 
     or in any other court of competent jurisdiction, not later 
     than the earlier of--
       ``(1) 2 years after the date of discovery by the plaintiff 
     of the violation that is the basis for such liability; or
       ``(2) 7 years after the date on which the violation that is 
     the basis for such liability occurs.''.

    TITLE II--IMPROVEMENTS IN USE OF AND CONSUMER ACCESS TO CREDIT 
                              INFORMATION

     SEC. 211. FREE CREDIT REPORTS.

       (a) In General.--Section 612 of the Fair Credit Reporting 
     Act (15 U.S.C. 1681j) is amended--
       (1) by redesignating subsection (a) as subsection (f), and 
     transferring it to the end of the section;
       (2) by inserting before subsection (b) the following:
       ``(a) Free Annual Disclosure.--
       ``(1) In general.--A consumer reporting agency described in 
     section 603(p) shall make all disclosures pursuant to section 
     609 once during any 12-month period upon request of the 
     consumer and without charge to the consumer, only if the 
     request is made by mail or through an Internet website using 
     the centralized system and the standardized form established 
     for such requests in accordance with section 211(c) of the 
     National Consumer Credit Reporting System Improvement Act of 
     2003.
       ``(2) Timing.--A consumer reporting agency shall provide a 
     consumer report under paragraph (1) not later than 15 days 
     after the date on which the request is received under 
     paragraph (1).
       ``(3) Reinvestigations.--Notwithstanding the time periods 
     specified in section 611(a)(1), a reinvestigation under that 
     section by a consumer reporting agency upon a request of a 
     consumer that is made after receiving a consumer report under 
     this subsection shall be completed not later than 45 days 
     after the date on which the request is received.'';
       (3) by redesignating subsection (d) as subsection (e);
       (4) by inserting before subsection (e), as redesignated, 
     the following:
       ``(d) Free Disclosures in Connection With Fraud Alerts.--
     Upon the request of a consumer, a consumer reporting agency 
     described in section 603(p) shall make all disclosures 
     pursuant to section 609 without charge to the consumer, as 
     provided in subsections (a)(2) and (b)(3) of section 605A, as 
     applicable.'';
       (5) in subsection (e), as redesignated, by striking 
     ``subsection (a)'' and inserting ``subsection (f)''; and
       (6) in subsection (f), as redesignated, by striking 
     ``Except as provided in subsections (b), (c), and (d), a'' 
     and inserting ``In the case of a request from a consumer 
     other than a request that is covered by any of subsections 
     (a) through (d), a''.
       (b) Summary of Rights To Obtain and Dispute Information in 
     Consumer Reports and To Obtain Credit Scores.--Section 609(c) 
     of the Fair Credit Reporting Act (15 U.S.C. 1681g) is amended 
     to read as follows:
       ``(c) Summary of Rights To Obtain and Dispute Information 
     in Consumer Reports and To Obtain Credit Scores.--
       ``(1) Commission summary of rights required.--
       ``(A) In general.--The Federal Trade Commission shall 
     prepare a model summary of the rights of consumers under this 
     title.
       ``(B) Content of summary.--The summary of rights prepared 
     under subparagraph (A) shall include a description of--
       ``(i) the right of a consumer to obtain a copy of a 
     consumer report under subsection (a) from each consumer 
     reporting agency;
       ``(ii) the frequency and circumstances under which a 
     consumer is entitled to receive a consumer report without 
     charge under section 612;
       ``(iii) the right of a consumer to dispute information in 
     the file of the consumer under section 611;
       ``(iv) the right of a consumer to obtain a credit score 
     from a consumer reporting agency, and a description of how to 
     obtain a credit score; and
       ``(v) the method by which a consumer can contact, and 
     obtain a consumer report from, a consumer reporting agency 
     without charge, as provided in the regulations of the Federal 
     Trade Commission prescribed under section 211(c) of the 
     National Consumer Credit Reporting System Improvement Act of 
     2003.
       ``(C) Availability of summary of rights.--The Federal Trade 
     Commission shall--
       ``(i) actively publicize the availability of the summary of 
     rights prepared under this paragraph;
       ``(ii) conspicuously post on its Internet website the 
     availability of such summary of rights; and
       ``(iii) promptly make such summary of rights available to 
     consumers, on request.
       ``(2) Summary of rights required to be included with agency 
     disclosures.--A consumer reporting agency shall provide to a 
     consumer, with each written disclosure by the agency to the 
     consumer under this section--
       ``(A) the summary of rights prepared by the Federal Trade 
     Commission under paragraph (1);
       ``(B) in the case of a consumer reporting agency described 
     in section 603(p), a toll-free telephone number established 
     by the agency, at which personnel are accessible to consumers 
     during normal business hours;
       ``(C) a list of all Federal agencies responsible for 
     enforcing any provision of this title, and the address and 
     any appropriate phone number of each such agency, in a form 
     that will assist the consumer in selecting the appropriate 
     agency;
       ``(D) a statement that the consumer may have additional 
     rights under State law, and that the consumer may wish to 
     contact a State or local consumer protection agency or a 
     State attorney general (or the equivalent thereof) to learn 
     of those rights; and
       ``(E) a statement that a consumer reporting agency is not 
     required to remove accurate derogatory information from the 
     file of a consumer, unless the information is outdated under 
     section 605 or cannot be verified.''.
       (c) Rulemaking Required.--
       (1) In general.--The Federal Trade Commission shall 
     prescribe regulations applicable to consumer reporting 
     agencies described in section 603(p) of the Fair Credit 
     Reporting Act to require the establishment of--
       (A) a centralized source, through which consumers may 
     obtain a consumer report from each consumer reporting agency 
     described in that section 603(p) using a single request and 
     without charge to the consumer, as provided in section 612(a) 
     of the Fair Credit Reporting Act (as amended by this Act);
       (B) a standardized form for a consumer to make such a 
     request for a consumer report by mail or through an Internet 
     website; and
       (C) streamlined methods by which such a consumer reporting 
     agency shall provide such consumer reports, after 
     consideration of--

[[Page 26960]]

       (i) the significant demands that may be placed on consumer 
     reporting agencies in providing such consumer reports;
       (ii) appropriate means to ensure that consumer reporting 
     agencies can satisfactorily meet those demands, including the 
     efficacy of a system of staggering the availability to 
     consumers of such consumer reports using a quarterly method 
     based on the birth month of the consumer; and
       (iii) the ease by which consumers should be able to contact 
     consumer reporting agencies with respect to access to such 
     consumer reports.
       (2) Timing.--Regulations required by this subsection 
     shall--
       (A) be issued in final form not later than 6 months after 
     the date of enactment of this Act; and
       (B) become effective not later than 6 months after the date 
     on which they are issued in final form.
       (d) Effective Date.--The amendments made by subsections (a) 
     and (b) shall become effective on the effective date of the 
     regulations prescribed by the Federal Trade Commission in 
     accordance with subsection (c).

     SEC. 212. CREDIT SCORES.

       (a) Duties of Consumer Reporting Agencies To Disclose 
     Credit Scores.--
       (1) In general.--Section 609(a) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681g(a)) is amended by adding at 
     the end the following:
       ``(6) In connection with an application for an extension of 
     credit for a consumer purpose that is to be secured by a 
     dwelling--
       ``(A) the current, or most recent, credit score of the 
     consumer that was previously calculated by the agency;
       ``(B) the range of possible credit scores under the model 
     used;
       ``(C) the key factors, if any, not to exceed 4, that 
     adversely affected the credit score of the consumer in the 
     model used;
       ``(D) the date on which the credit score was created; and
       ``(E) the name of the person or entity that provided the 
     credit score or the credit file on the basis of which the 
     credit score was created.''.
       (2) Limitations on required provision of credit score.--
     Section 609 of the Fair Credit Reporting Act (15 U.S.C. 
     1681g), as amended by this Act, is amended by adding at the 
     end the following:
       ``(e) Limitations on Required Provision of Credit Score.--
       ``(1) In general.--Subsection (a)(6) may not be construed--
       ``(A) to compel a consumer reporting agency to develop or 
     disclose a credit score if the agency does not, in the 
     ordinary course of its business--
       ``(i) distribute scores that are used in connection with 
     extensions of credit secured by residential real property; or
       ``(ii) develop credit scores that assist creditors in 
     understanding the general credit behavior of the consumer and 
     predicting future credit behavior;
       ``(B) to require a consumer reporting agency that 
     distributes credit scores developed by another person or 
     entity to provide a further explanation of those scores, or 
     to process a dispute arising pursuant to section 611(a), 
     except that the consumer reporting agency shall be required 
     to provide to the consumer the name and information for 
     contacting the person or entity that developed the score;
       ``(C) to require a consumer reporting agency to maintain 
     credit scores in its files; or
       ``(D) to compel disclosure of a credit score, except upon 
     specific request of the consumer, except that if a consumer 
     requests the credit file and not the credit score, then the 
     consumer shall be provided with the credit file and a 
     statement that the consumer may request and obtain a credit 
     score.
       ``(2) Provision of scoring model.--In complying with 
     subsection (a)(6) and this subsection, a consumer reporting 
     agency shall supply to the consumer--
       ``(A) a credit score that is derived from a credit scoring 
     model that is widely distributed to users of credit scores by 
     that consumer reporting agency in connection with any 
     extension of credit secured by a dwelling; or
       ``(B) a credit score that assists the consumer in 
     understanding the credit scoring assessment of the credit 
     behavior of the consumer and predictions about future credit 
     behavior.''.
       (3) Conforming amendment.--Section 609(a)(1)(B) of the Fair 
     Credit Reporting Act (15 U.S.C. 1681g(a)(1)(B)), as so 
     designated by section 116, is amended by inserting before the 
     period ``, other than as provided in paragraph (6)''.
       (b) Duties of Users of Credit Scores.--
       (1) In general.--Section 615 of the Fair Credit Reporting 
     Act (15 U.S.C. 1681m), as amended by this Act, is amended by 
     adding at the end the following:
       ``(i) Duties of Users of Credit Scores.--
       ``(1) Disclosures.--Any person that makes or arranges 
     extensions of credit for consumer purposes that are to be 
     secured by a dwelling and that uses credit scores for that 
     purpose, shall be required to provide to the consumer to whom 
     the credit score relates, as soon as is reasonably 
     practicable after such use--
       ``(A) a copy of the information described in section 
     609(a)(6) that was obtained from a consumer reporting agency 
     or that was developed and used by that user of the credit 
     score information; or
       ``(B) if the user of the credit score information obtained 
     such information from a third party that developed such 
     information (other than a consumer reporting agency or the 
     user itself), only--
       ``(i) a copy of the information described in section 
     609(a)(6) provided to the user by the person or entity that 
     developed the credit score; and
       ``(ii) a notice that generally describes credit scores, 
     their use, and the sources and kinds of data used to generate 
     credit scores.
       ``(2) Rule of construction.--This subsection may not be 
     construed to require the user of a credit score described in 
     paragraph (1)--
       ``(A) to explain to the consumer the information provided 
     pursuant to section 609(a)(6), unless that information was 
     developed by the user;
       ``(B) to disclose any information other than a credit score 
     or the key factors required to be disclosed under section 
     609(a)(6)(C);
       ``(C) to disclose any credit score or related information 
     obtained by the user after a transaction occurs; or
       ``(D) to provide more than 1 disclosure under this 
     subsection to any 1 consumer per credit transaction.
       ``(3) Limitation.--Except as otherwise provided in this 
     subsection, the obligation of a user of a credit score under 
     this subsection shall be limited solely to providing a copy 
     of the information that was received from the consumer 
     reporting agency or other person. A user of a credit score 
     has no liability under this subsection for the content of 
     credit score information received from a consumer reporting 
     agency or for the omission of any information within the 
     report provided by the consumer reporting agency.''.
       (2) Conforming amendment.--Section 615 of the Fair Credit 
     Reporting Act (15 U.S.C. 1681m) is amended in the section 
     heading, by adding at the end the following: ``and credit 
     scores''.
       (c) Contractual Liability.--Section 616 of the Fair Credit 
     Reporting Act (15 U.S.C. 1681n) is amended by adding at the 
     end the following:
       ``(d) Use of Credit Scores.--Any provision of any contract 
     that prohibits the disclosure of a credit score by a consumer 
     reporting agency or a person who makes or arranges extensions 
     of credit to the consumer to whom the credit score relates is 
     void. A user of a credit score shall not have liability under 
     any such contractual provision for disclosure of a credit 
     score.''.
       (d) Relation to State Laws.--Section 624(b)(1) of the Fair 
     Credit Reporting Act (15 U.S.C. 1681t(b)(1), regarding 
     relation to State laws) is amended--
       (1) in subparagraph (E), by striking ``or'' at the end; and
       (2) by adding at the end the following:
       ``(G) subsections (a)(6) and (e) of section 609, relating 
     to the disclosure of credit scores by consumer reporting 
     agencies in connection with an application for an extension 
     of credit that is to be secured by a dwelling;
       ``(H) section 615(i), relating to the duties of users of 
     credit scores to disclose credit score information to 
     consumers in connection with an application for an extension 
     of credit that is to be secured by a dwelling; or''.
       (e) Effective Date.--The amendments made by this section 
     shall become effective 180 days after the date of enactment 
     of this Act.

     SEC. 213. ENHANCED DISCLOSURE OF THE MEANS AVAILABLE TO OPT 
                   OUT OF PRESCREENED LISTS.

       (a) Notice and Response Format for Users of Reports.--
     Section 615(d)(2) of the Fair Credit Reporting Act (15 U.S.C. 
     1681m(d)(2)) is amended to read as follows:
       ``(2) Disclosure of address and telephone number; format.--
     A statement under paragraph (1) shall--
       ``(A) include the address and toll-free telephone number of 
     the appropriate notification system established under section 
     604(e); and
       ``(B) be presented in such format and in such type size and 
     manner as is established by the Federal Trade Commission, by 
     rule, in consultation with the Federal banking agencies and 
     the National Credit Union Administration.''.
       (b) Rulemaking Schedule.--Regulations required by section 
     615(d)(2) of the Fair Credit Reporting Act, as amended by 
     this section, shall be issued in final form not later than 1 
     year after the date of enactment of this Act.
       (c) Duration of Elections.--Section 604(e) of the Fair 
     Credit Reporting Act (15 U.S.C. 1681b(e)) is amended in each 
     of paragraphs (3)(A) and (4)(B)(i)), by striking ``2-year 
     period'' each place that term appears and inserting ``7-year 
     period''.
       (d) Public Awareness Campaign.--The Federal Trade 
     Commission shall actively publicize and conspicuously post on 
     its website any address and the toll-free telephone number 
     established as part of a notification system for opting out 
     of prescreening under section 604(e), and otherwise take 
     measures to increase public awareness regarding the 
     availability of the right to opt out of prescreening.

     SEC. 214. AFFILIATE SHARING.

       (a) Limitation.--The Fair Credit Reporting Act (15 U.S.C. 
     1601 et seq.) is amended--

[[Page 26961]]

       (1) by redesignating section 624 (regarding relation to 
     State laws), as so designated by section 2413(b) of the 
     Consumer Credit Reporting Reform Act of 1996 (110 Stat. 3009-
     447), as section 625;
       (2) by redesignating section 624 (regarding disclosures to 
     FBI for counterintelligence purposes), as added by section 
     601(a) of the Intelligence Authorization Act for Fiscal Year 
     1996 (Public Law 104-93; 109 Stat. 974) (15 U.S.C. 1681u)), 
     as section 626; and
       (3) by inserting after section 623 the following:

     ``SEC. 624. AFFILIATE SHARING.

       ``(a) Special Rule for Solicitation for Purposes of 
     Marketing.--
       ``(1) Notice.--Any person that receives from another person 
     related to it by common ownership or affiliated by corporate 
     control a communication of information that would be a 
     consumer report, except for clauses (i) through (iii) of 
     section 603(d)(2)(A), may not use the information to make a 
     solicitation for marketing purposes to a consumer about its 
     products or services, unless--
       ``(A) it is clearly and conspicuously disclosed to the 
     consumer that the information may be communicated among such 
     persons for purposes of making such solicitations to the 
     consumer; and
       ``(B) the consumer is provided an opportunity and a simple 
     method to prohibit the making of such solicitations to the 
     consumer by such person.
       ``(2) Consumer choice.--
       ``(A) In general.--The notice required under paragraph (1) 
     shall allow the consumer the opportunity to prohibit all such 
     solicitations, and may allow the consumer to choose from 
     different options when electing to prohibit the sending of 
     such solicitations, including options regarding the types of 
     entities and information covered, and which methods of 
     delivering solicitations the consumer elects to prohibit.
       ``(B) Format.--Notwithstanding subparagraph (A), the notice 
     required under paragraph (1) must be clear, conspicuous, and 
     concise, and any method provided under paragraph (1)(B) must 
     be simple. The regulations prescribed to implement this 
     section shall provide specific guidance regarding how to 
     comply with such standards.
       ``(3) Duration.--The election of the consumer pursuant to 
     paragraph (1)(B) to prohibit the sending of solicitations 
     shall be effective for 5 years, beginning on the date on 
     which the person receives the election of the consumer, 
     unless the consumer requests that such election be revoked 
     before the end of such period. At such time as the election 
     of the consumer pursuant to paragraph (1)(B) is no longer 
     effective, a person may not use information it receives as 
     described in paragraph (1) to make a solicitation for 
     marketing purposes to such consumer unless the consumer 
     receives a notice and an opportunity to extend the opt out 
     for another period of 5 years, pursuant to the procedure 
     described in paragraph (1).
       ``(4) Scope.--This section shall not apply to a person--
       ``(A) using information to make a solicitation for 
     marketing purposes to a consumer with whom the person has a 
     pre-existing business relationship;
       ``(B) using information to perform services on behalf of 
     another person related by common ownership or affiliated by 
     corporate control, except that this subparagraph shall not 
     permit a person to send solicitations on behalf of another 
     person if such other person would not be permitted to send 
     the solicitation on its own behalf as a result of the 
     election of the consumer to prohibit solicitations under 
     paragraph (1)(B);
       ``(C) using information in direct response to a 
     communication initiated by the consumer in which the consumer 
     has requested information about a product or service; or
       ``(D) using information to directly respond to 
     solicitations authorized or requested by the consumer.
       ``(b) Notice for Other Purposes Permissible.--A notice or 
     other disclosure that is equivalent to the notice required by 
     subsection (a), and that is provided by a person described in 
     subsection (a) to a consumer together with disclosures 
     required by any other provision of law shall satisfy the 
     requirements of subsection (a).''.
       (b) Rulemaking Required.--
       (1) In general.--The Federal banking agencies, the National 
     Credit Union Administration, and the Federal Trade Commission 
     shall, with respect to the entities that are subject to their 
     respective enforcement authority under section 621 of the 
     Fair Credit Reporting Act, and in coordination as described 
     in paragraph (2), prescribe regulations to implement section 
     624 of the Fair Credit Reporting Act, as added by this 
     section.
       (2) Coordination.--Each agency required to prescribe 
     regulations under paragraph (1) shall consult and coordinate 
     with each other such agency so that, to the extent possible, 
     the regulations prescribed by each such entity are consistent 
     and comparable with the regulations prescribed by each other 
     such agency.
       (3) Considerations.--In promulgating regulations under this 
     subsection, the Federal Trade Commission shall--
       (A) ensure that affiliate sharing notification methods 
     provide a simple means for consumers to make determinations 
     and choices under section 624 of the Fair Credit Reporting 
     Act, as added by this section; and
       (B) consider the affiliate sharing notification practices 
     employed on the date of enactment of this Act by persons that 
     will be subject to that section 624.
       (4) Timing.--Regulations required by this subsection 
     shall--
       (A) be issued in final form not later than 6 months after 
     the date of enactment of this Act; and
       (B) become effective not later than 3 months after the date 
     on which they are issued in final form.
       (c) Conforming Amendment.--Section 603(d)(2)(A) of the Fair 
     Credit Reporting Act (15 U.S.C. 1681a(d)(2)(A)) is amended by 
     inserting ``subject to section 624,'' after ``(A)''.
       (d) Clerical Amendment.--The Fair Credit Reporting Act (15 
     U.S.C. 1681 et seq.) is amended in the table of sections, by 
     striking the items following the item relating to section 623 
     and inserting the following:

``624. Affiliate sharing.
``625. Relation to State laws.
``626. Disclosures to FBI for counterintelligence purposes.''.
       (e) Studies of Information Sharing Practices.--
       (1) In general.--The Federal banking agencies, the National 
     Credit Union Administration, and the Federal Trade Commission 
     shall jointly conduct regular studies of the consumer 
     information sharing practices by financial institutions and 
     other persons that are creditors or users of consumer reports 
     with their affiliates.
       (2) Matters for study.--In conducting the studies required 
     by paragraph (1), the agencies described in paragraph (1) 
     shall--
       (A) identify--
       (i) the purposes for which financial institutions and other 
     creditors and users of consumer reports share consumer 
     information;
       (ii) the types of information shared by such entities with 
     their affiliates;
       (iii) the number of choices provided to consumers with 
     respect to the control of such sharing, and the degree to and 
     manner in which consumers exercise such choices, if at all; 
     and
       (iv) whether such entities share or may share personally 
     identifiable transaction or experience information with 
     affiliates for purposes--

       (I) that are related to employment or hiring, including 
     whether the person that is the subject of such information is 
     given notice of such sharing, and the specific uses of such 
     shared information; or
       (II) of general publication of such information; and

       (B) specifically examine the information sharing practices 
     that financial institutions and other creditors and users of 
     consumer reports and their affiliates employ for the purpose 
     of making underwriting decisions or credit evaluations of 
     consumers.
       (3) Reports.--
       (A) Initial report.--Not later than 3 years after the date 
     of enactment of this Act, the Federal banking agencies, the 
     National Credit Union Administration, and the Federal Trade 
     Commission shall jointly submit a report to the Congress on 
     the results of the initial study conducted in accordance with 
     this subsection, together with any recommendations for 
     legislative or regulatory action.
       (B) Followup reports.--The Federal banking agencies, the 
     National Credit Union Administration, and the Federal Trade 
     Commission shall, not less frequently than once every 3 years 
     following the date of submission of the initial report under 
     subparagraph (A), jointly submit a report to the Congress 
     that, together with any recommendations for legislative or 
     regulatory action--
       (i) documents any changes in the areas of study referred to 
     in paragraph (2)(A) occurring since the date of submission of 
     the previous report;
       (ii) identifies any changes in the practices of financial 
     institutions and other creditors and users of consumer 
     reports in sharing consumer information with their affiliates 
     for the purpose of making underwriting decisions or credit 
     evaluations of consumers occurring since the date of 
     submission of the previous report; and
       (iii) examines the effects that changes described in clause 
     (ii) have had, if any, on the degree to which such affiliate 
     sharing practices reduce the need for financial institutions, 
     creditors, and other users of consumer reports to rely on 
     credit reports for such decisions.
       (f) Definitions.--As used in this section--
       (1) the terms ``consumer'', ``consumer report'', ``consumer 
     reporting agency'', ``creditor'', ``Federal banking 
     agencies'', and ``financial institution'', have the same 
     meanings as in section 603 of the Fair Credit Reporting Act, 
     as amended by this Act; and
       (2) the term ``affiliates'' means persons that are related 
     by common ownership or affiliated by corporate control.

     SEC. 215. STUDY OF EFFECTS OF CREDIT SCORES AND CREDIT-BASED 
                   INSURANCE SCORES ON AVAILABILITY AND 
                   AFFORDABILITY OF FINANCIAL PRODUCTS.

       (a) Defined Term.--As used in this section, the term 
     ``credit score'' means a numerical

[[Page 26962]]

     value or a categorization derived from a statistical tool or 
     modeling system used to predict the likelihood of certain 
     credit or insurance behaviors, including default.
       (b) Study Required.--The Federal Trade Commission shall 
     conduct a study of--
       (1) the effects of the use of credit scores and credit-
     based insurance scores on the availability and affordability 
     of financial products and services, including credit cards, 
     mortgages, auto loans, and property and casualty insurance;
       (2) the degree of correlation between the factors 
     considered by credit score systems and the quantifiable risks 
     and actual losses experienced by businesses, including the 
     extent to which each of the factors considered or otherwise 
     taken into account by such systems correlated to risk or 
     loss;
       (3) the extent to which the use of credit scoring models, 
     credit scores and credit-based insurance scores benefit or 
     negatively impact persons based on geography, income, 
     ethnicity, race, color, religion, national origin, age, sex, 
     marital status, or creed; and
       (4) the extent to which credit scoring systems are used by 
     businesses, the factors considered by such systems, and the 
     effects of variables which are not considered by such 
     systems.
       (c) Public Participation.--The Federal Trade Commission 
     shall seek public input about the prescribed methodology and 
     research design of the study required by subsection (b).
       (d) Report.--
       (1) In general.--Before the end of the 18-month period 
     beginning on the date of enactment of this Act, the Federal 
     Trade Commission shall submit a detailed report on the study 
     conducted under this section to the Committee on Financial 
     Services of the House of Representatives and the Committee on 
     Banking, Housing, and Urban Affairs of the Senate.
       (2) Contents.--The report submitted under paragraph (1) 
     shall include--
       (A) the findings and conclusions of the Commission;
       (B) recommendations to address specific areas of concern 
     that were identified in the study; and
       (C) recommendations for legislative or administrative 
     action that the Commission may determine to be necessary to 
     ensure that credit and credit-based insurances score are used 
     appropriately and fairly.

    TITLE III--ENHANCING THE ACCURACY OF CONSUMER REPORT INFORMATION

     SEC. 311. RISK-BASED PRICING NOTICE.

       (a) Duties of Users.--Section 615 of the Fair Credit 
     Reporting Act (15 U.S.C. 1681m), as amended by this Act, is 
     amended by adding at the end the following:
       ``(j) Duties of Users in Certain Credit Transactions.--
       ``(1) In general.--Subject to rules prescribed as provided 
     in paragraph (5), if any person uses a consumer report in 
     connection with a grant, extension, or other provision of 
     credit on material terms that are materially less favorable 
     than the most favorable terms available to a substantial 
     proportion of consumers from or through that person, based in 
     whole or in part on a consumer report, the person shall 
     provide a notice to the consumer in the form and manner 
     required by regulations prescribed in accordance with this 
     subsection.
       ``(2) Exceptions.--No notice shall be required from a 
     person under this subsection if--
       ``(A) the consumer applied for specific material terms and 
     was granted those terms, unless those terms were initially 
     specified by the person after the transaction was initiated 
     by the consumer and after the person obtained a consumer 
     report; or
       ``(B) the person has provided or will provide a notice to 
     the consumer under subsection (a) in connection with the 
     transaction.
       ``(3) Other notice not sufficient.--A person that is 
     required to provide a notice under subsection (a) cannot meet 
     that requirement by providing a notice under this subsection.
       ``(4) Content and delivery of notice.--A notice under this 
     subsection shall include, at a minimum--
       ``(A) a statement informing the consumer that the terms 
     offered to the consumer were set based on information from a 
     consumer report;
       ``(B) identification of the consumer reporting agency that 
     furnished that report;
       ``(C) a statement informing the consumer that the consumer 
     may obtain a copy of a consumer report from that consumer 
     reporting agency without charge; and
       ``(D) the contact information specified by that consumer 
     reporting agency for obtaining such consumer reports 
     (including a toll-free telephone number established by the 
     agency in the case of a consumer reporting agency described 
     in section 603(p)).
       ``(5) Rulemaking.--
       ``(A) Rules required.--The Federal Trade Commission and the 
     Board of Governors of the Federal Reserve System shall 
     jointly prescribe rules, in accordance with section 553 of 
     title 5, United States Code, to carry out this subsection.
       ``(B) Content.--Rules required by subparagraph (A) shall 
     address, but are not limited to--
       ``(i) the form, content, time, and manner of delivery of 
     any notice under this subsection;
       ``(ii) clarification of the meaning of terms used in this 
     subsection, including what credit terms are material, and 
     when credit terms are materially less favorable;
       ``(iii) exceptions to the notice requirement under this 
     subsection for classes of persons or transactions regarding 
     which the agencies determine that notice would not 
     significantly benefit consumers; and
       ``(iv) a model notice that may be used to comply with this 
     subsection.''.
       (b) Relation to State Laws.--Section 625(b)(1) of the Fair 
     Credit Reporting Act (15 U.S.C. 1681t(b)(1), regarding 
     relation to State laws), as so designated and amended by this 
     Act, is amended by adding at the end the following:
       ``(I) section 615(j), relating to the duties of users of 
     consumer reports to provide notice with respect to terms in 
     certain credit transactions;''.

     SEC. 312. PROCEDURES TO ENHANCE THE ACCURACY AND COMPLETENESS 
                   OF INFORMATION FURNISHED TO CONSUMER REPORTING 
                   AGENCIES.

       (a) Accuracy Guidelines and Regulations.--Section 623 of 
     the Fair Credit Reporting Act (15 U.S.C. 15 U.S.C. 1681s-2) 
     is amended by adding at the end the following:
       ``(e) Accuracy Guidelines and Regulations Required.--
       ``(1) Guidelines.--The Federal banking agencies, the 
     National Credit Union Administration, and the Federal Trade 
     Commission shall, with respect to the entities that are 
     subject to their respective enforcement authority under 
     section 621, and in coordination as described in paragraph 
     (2)--
       ``(A) establish and maintain guidelines for use by each 
     person that furnishes information to a consumer reporting 
     agency regarding the accuracy and completeness of the 
     information relating to consumers that such entities furnish 
     to consumer reporting agencies, and update such guidelines as 
     often as necessary; and
       ``(B) prescribe regulations requiring each person that 
     furnishes information to a consumer reporting agency to 
     establish reasonable policies and procedures for implementing 
     the guidelines established pursuant to subparagraph (A).
       ``(2) Coordination.--Each agency required to prescribe 
     regulations under paragraph (1) shall consult and coordinate 
     with each other such agency so that, to the extent possible, 
     the regulations prescribed by each such entity are consistent 
     and comparable with the regulations prescribed by each other 
     such agency.
       ``(3) Criteria.--In developing the guidelines required by 
     paragraph (1)(A), the agencies described in paragraph (1) 
     shall--
       ``(A) identify patterns, practices, and specific forms of 
     activity that can compromise the accuracy and completeness of 
     information furnished to consumer reporting agencies;
       ``(B) review the methods (including technological means) 
     used to furnish information relating to consumers to consumer 
     reporting agencies;
       ``(C) determine whether persons that furnish information to 
     consumer reporting agencies maintain and enforce policies to 
     provide complete and accurate information to consumer 
     reporting agencies; and
       ``(D) examine the policies and processes that persons that 
     furnish information to consumer reporting agencies employ to 
     conduct reinvestigations and correct inaccurate information 
     relating to consumers that has been furnished to consumer 
     reporting agencies.''.
       (b) Furnisher Liability Exception.--Section 623(a)(5) of 
     the Fair Credit Reporting Act (15 U.S.C. 1681s-2(a)(5)) is 
     amended--
       (1) by striking ``A person'' and inserting the following:
       ``(A) In general.--A person'';
       (2) by inserting ``date of delinquency on the account, 
     which shall be the'' before ``month'';
       (3) by inserting ``on the account'' before ``that 
     immediately preceded''; and
       (4) by adding at the end the following:
       ``(B) Rule of construction.--For purposes of this paragraph 
     only, and provided that the consumer does not dispute the 
     information, a person that furnishes information on a 
     delinquent account that is placed for collection, charged for 
     profit or loss, or subjected to any similar action, complies 
     with this paragraph, if--
       ``(i) the person reports the same date of delinquency as 
     that provided by the creditor to which the account was owed 
     at the time at which the commencement of the delinquency 
     occurred, if the creditor previously reported that date of 
     delinquency to a consumer reporting agency;
       ``(ii) the creditor did not previously report the date of 
     delinquency to a consumer reporting agency, and the person 
     establishes and follows reasonable procedures to obtain the 
     date of delinquency from the creditor or another reliable 
     source and reports that date as the date of delinquency; or
       ``(iii) the creditor did not previously report the date of 
     delinquency to a consumer reporting agency and the date of 
     delinquency cannot be reasonably obtained as provided in 
     clause (ii), the person establishes and follows reasonable 
     procedures to ensure the date reported as the date of 
     delinquency precedes the date on which the account is placed 
     for

[[Page 26963]]

     collection, charged to profit or loss, or subjected to any 
     similar action, and reports such date to the credit reporting 
     agency.''.
       (c) Liability and Enforcement.--
       (1) Civil liability.--Section 623 of the Fair Credit 
     Reporting Act (15 U.S.C. 1681s-2) is amended by striking 
     subsections (c) and (d) and inserting the following:
       ``(c) Limitation on Liability.--Except as provided in 
     section 621(c)(1)(B), sections 616 and 617 do not apply to 
     any violation of--
       ``(1) subsection (a) of this section;
       ``(2) subsection (e) of this section, except that nothing 
     in this paragraph shall limit, expand, or otherwise affect 
     liability under section 616 or 617, as applicable, for 
     violations of subsection (b) of this section;
       ``(3) subsection (e) or (f) of section 615; or
       ``(4) subparagraph (A) of subsection (b)(2) of this section 
     that is based on the development of procedures required by 
     that subparagraph, except that refurnishing information 
     otherwise in violation of subsection (b) shall be subject to 
     liability under sections 616 and 617, as applicable, to the 
     same extent as such a refurnishing violation was subject to 
     such liability on the day before the date of enactment of the 
     National Consumer Credit Reporting System Improvement Act of 
     2003.
       ``(d) Limitation on Enforcement.--The provisions of law 
     described in paragraphs (1) through (4) of subsection (c) 
     (other than with respect to the exceptions described in 
     paragraphs (2) and (4) of subsection (c)) shall be enforced 
     exclusively as provided under section 621 by the Federal 
     agencies and officials and the State officials identified in 
     section 621.''.
       (2) State actions.--Section 621(c) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681s(c)) is amended--
       (A) in paragraph (1)(B)(ii), by striking ``of section 
     623(a)'' and inserting ``described in any of paragraphs (1) 
     through (4) of section 623(c) (other than with respect to the 
     exception described in paragraph (4) of section 623(c))''; 
     and
       (B) in paragraph (5)--
       (i) in each of subparagraphs (A) and (B), by inserting 
     after ``section 623(a)(1)'' each place that term appears the 
     following: ``or a violation described in any of paragraphs 
     (2) through (4) of section 623(c) (other than with respect to 
     the exception described in paragraph (4) of section 
     623(c))''; and
       (ii) by amending the paragraph heading to read as follows:
       ``(5) Limitations on state actions for certain 
     violations.--''.
       (d) Rule of Construction.--Nothing in this section, the 
     amendments made by this section, or any other provision of 
     this Act shall be construed to affect any liability under 
     section 616 or 617 of the Fair Credit Reporting Act (15 
     U.S.C. 1681n, 1681o) that existed on the day before the date 
     of enactment of this Act.

     SEC. 313. FEDERAL TRADE COMMISSION AND CONSUMER REPORTING 
                   AGENCY ACTION CONCERNING COMPLAINTS.

       Section 611 of the Fair Credit Reporting Act (15 U.S.C. 
     1681i) is amended by adding at the end the following:
       ``(e) Treatment of Complaints and Report to Congress.--
       ``(1) In general.--The Federal Trade Commission shall--
       ``(A) compile all complaints that it receives that a file 
     of a consumer that is maintained by a consumer reporting 
     agency described in section 603(p) contains incomplete or 
     inaccurate information, with respect to which, the consumer 
     appears to have disputed the completeness or accuracy with 
     the consumer reporting agency or otherwise utilized the 
     procedures provided by subsection (a); and
       ``(B) transmit each such complaint to each consumer 
     reporting agency involved.
       ``(2) Exclusion.--Complaints received or obtained by the 
     Federal Trade Commission pursuant to its investigative 
     authority under the Federal Trade Commission Act shall not be 
     subject to this paragraph (1).
       ``(3) Agency responsibilities.--Each consumer reporting 
     agency described in section 603(p) that receives a complaint 
     transmitted by the Federal Trade Commission pursuant to 
     paragraph (1) shall--
       ``(A) review each such complaint to determine whether all 
     legal obligations imposed on the consumer reporting agency 
     under this title (including any obligation imposed by an 
     applicable court or administrative order) have been met with 
     respect to the subject matter of the complaint;
       ``(B) provide reports on a regular basis to the Commission 
     regarding the determinations of and actions taken by the 
     consumer reporting agency, if any, in connection with its 
     review of such complaints; and
       ``(C) maintain, for a reasonable time period, records 
     regarding the disposition of each such complaint that is 
     sufficient to demonstrate compliance with this subsection.
       ``(4) Rulemaking authority.--The Federal Trade Commission 
     may prescribe regulations in accordance with the requirements 
     of section 553 of title 5, United States Code, as appropriate 
     to implement this subsection.
       ``(5) Annual report.--The Federal Trade Commission shall 
     submit to the Committee on Banking, Housing, and Urban 
     Affairs of the Senate and the Committee on Financial Services 
     of the House of Representatives an annual report regarding 
     information gathered by the Commission under this 
     subsection.''.

     SEC. 314. ONGOING AUDITS OF THE ACCURACY OF CONSUMER REPORTS.

       (a) Audits Required.--The Board of Governors of the Federal 
     Reserve System (in this section referred to as ``the Board'') 
     shall conduct ongoing audits of the accuracy and completeness 
     of information contained in consumer reports prepared or 
     maintained by consumer reporting agencies. The Board shall 
     independently verify the accuracy and completeness of 
     information contained in consumer reports by evaluating 
     information and data provided by consumer reporting agencies 
     (as defined in section 603 of the Fair Credit Reporting Act).
       (b) Subject Matters.--In conducting audits under this 
     section, the Board shall examine--
       (1) the accuracy and completeness of information contained 
     in consumer reports, including an analysis of the type of 
     inaccurate or incomplete information, if any, that may have 
     the most significant impact on the availability and terms of 
     various credit products offered to borrowers; and
       (2) the impact, if any, of incomplete and inaccurate 
     information on the credit and credit-based insurance scores 
     that are most widely used to determine borrower credit 
     worthiness and to make insurance underwriting and rating 
     decisions, including an analysis of how, if at all, changes 
     to credit scores resulting from inaccurate or incomplete 
     credit reporting information affect the availability and 
     terms of various credit products offered to borrowers.
       (c) Biennial Reports Required.--
       (1) In general.--The Board shall submit a report to the 
     Committee on Banking, Housing, and Urban Affairs of the 
     Senate and the Committee on Financial Services of the House 
     of Representatives at the end of the 2-year period beginning 
     on the date of enactment of this Act. Thereafter, the Board 
     shall conduct additional audits and submit additional reports 
     once every 2 years.
       (2) Contents.--Each report submitted under this subsection 
     shall contain a detailed summary of the findings and 
     conclusions of the Board with respect to the audits required 
     by this section, and such recommendations for legislative and 
     administrative action as the Board may determine to be 
     appropriate.
       (d) Provision of Reports to the Board for Purposes of 
     Analysis.--Section 604(d) of the Fair Credit Reporting Act 
     (12 U.S.C. 1681b(d)) is amended to read as follows:
       ``(d) Furnishing Consumer Reports for Accuracy or 
     Compliance Audits.--A consumer reporting agency shall provide 
     consumer reports to the Board of Governors of the Federal 
     Reserve System, upon request, for the purpose of conducting 
     an accuracy or compliance audit in accordance with section 
     314 of the National Consumer Credit Reporting System 
     Improvement Act of 2003.''.

     SEC. 315. IMPROVED DISCLOSURE OF THE RESULTS OF 
                   REINVESTIGATION.

       (a) In General.--Section 611(a)(5)(A) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681i) is amended by striking 
     ``shall'' and all that follows through the end of the 
     subparagraph, and inserting the following: ``shall--
       ``(i) promptly delete that item of information from the 
     file of the consumer, or modify that item of information, as 
     appropriate, based on the results of the reinvestigation; and
       ``(ii) promptly notify the furnisher of that information 
     that the information has been modified or deleted from the 
     file of the consumer.''.
       (b) Furnisher Requirements Relating to Inaccurate, 
     Incomplete, or Unverifiable Information.--Section 623(b)(1) 
     of the Fair Credit Reporting Act (15 U.S.C. 1681s-2(b)(1)) is 
     amended--
       (1) in subparagraph (C), by striking ``and'' at the end; 
     and
       (2) in subparagraph (D), by striking the period at the end 
     and inserting the following: ``; and
       ``(E) if an item of any information disputed by a consumer 
     is found to be inaccurate or incomplete or cannot be verified 
     after any reinvestigation under paragraph (1), promptly 
     delete that item of information from the furnisher's records 
     or modify that item of information, as appropriate, based on 
     the results of the reinvestigation.''.

     SEC. 316. RECONCILING ADDRESSES.

       Section 605 of the Fair Credit Reporting Act (15 U.S.C. 
     1681c), as amended by this Act, is amended by adding at the 
     end the following:
       ``(h) Notice of Discrepancy in Address.--
       ``(1) In general.--If a person has requested a consumer 
     report relating to a consumer from a consumer reporting 
     agency described in section 603(p), the request includes an 
     address for the consumer that substantially differs from the 
     addresses in the file of the consumer, and the agency 
     provides a consumer report in response to the request, the 
     consumer reporting agency shall notify the requester of the 
     existence of the discrepancy.
       ``(2) Regulations.--
       ``(A) Regulations required.--The Federal banking agencies, 
     the National Credit Union Administration, and the Federal 
     Trade Commission shall, with respect to the entities

[[Page 26964]]

     that are subject to their respective enforcement authority 
     under section 621, and in coordination as described in 
     subparagraph (B), prescribe regulations providing guidance 
     regarding reasonable policies and procedures that a user of a 
     consumer report should employ when such user has received a 
     notice of discrepancy under paragraph (1).
       ``(B) Coordination.--Each agency required to prescribe 
     regulations under subparagraph (A) shall consult and 
     coordinate with each other such agency so that, to the extent 
     possible, the regulations prescribed by each such entity are 
     consistent and comparable with the regulations prescribed by 
     each other such agency.
       ``(C) Policies and procedures to be included.--The 
     regulations prescribed under subparagraph (A) shall describe 
     reasonable policies and procedures for use by a user of a 
     consumer report--
       ``(i) to form a reasonable belief that the user knows the 
     identity of the person to whom the consumer report pertains; 
     and
       ``(ii) if the user establishes a continuing relationship 
     with the consumer, and the user regularly and in the ordinary 
     course of business furnishes information to the consumer 
     reporting agency from which the notice of discrepancy 
     pertaining to the consumer was obtained, to reconcile the 
     address of the consumer with the consumer reporting agency by 
     furnishing such address to such consumer reporting agency as 
     part of information regularly furnished by the user for the 
     period in which the relationship is established.''.

     SEC. 317. FTC STUDY OF ISSUES RELATING TO THE FAIR CREDIT 
                   REPORTING ACT.

       (a) Study Required.--
       (1) In general.--The Federal Trade Commission shall conduct 
     a study on ways to improve the operation of the Fair Credit 
     Reporting Act.
       (2) Areas for study.--In conducting the study under 
     paragraph (1), the Federal Trade Commission shall review--
       (A) the efficacy of increasing the number of points of 
     identifying information that a credit reporting agency is 
     required to match to ensure that a consumer is the correct 
     individual to whom a consumer report relates before releasing 
     a consumer report to a user, including--
       (i) the extent to which requiring additional points of such 
     identifying information to match would--

       (I) enhance the accuracy of credit reports; and
       (II) combat the provision of incorrect consumer reports to 
     users;

       (ii) the extent to which requiring an exact match of the 
     first and last name, social security number, and address and 
     ZIP Code of the consumer would enhance the likelihood of 
     increasing credit report accuracy; and
       (iii) the effects of allowing consumer reporting agencies 
     to use partial matches of social security numbers and name 
     recognition software on the accuracy of credit reports;
       (B) requiring notification to consumers when negative 
     information has been added to their credit reports, 
     including--
       (i) the potential impact of such notification on the 
     ability of consumers to identify errors on their credit 
     reports; and
       (ii) the potential impact of such notification on the 
     ability of consumers to remove fraudulent information from 
     their credit reports;
       (C) the effects of requiring that a consumer who has 
     experienced an adverse action based on a credit report 
     receives a copy of the same credit report that the creditor 
     relied on in taking the adverse action, including--
       (i) the extent to which providing such reports to consumers 
     would increase the ability of consumers to identify errors in 
     their credit reports; and
       (ii) the extent to which providing such reports to 
     consumers would increase the ability of consumers to remove 
     fraudulent information from their credit reports;
       (D) any common financial transactions that are not 
     generally reported to the consumer reporting agencies, but 
     would provide useful information in determining the credit 
     worthiness of consumers; and
       (E) any actions that might be taken within a voluntary 
     reporting system to encourage the reporting of the types of 
     transactions described in subparagraph (D).
       (3) Costs and benefits.--With respect to each area of study 
     described in paragraph (2), the Federal Trade Commission 
     shall consider the extent to which such requirements would 
     benefit consumers, balanced against the cost of implementing 
     such provisions.
       (b) Report Required.--Not later than 270 days after the 
     date of enactment of this Act, the chairman of the Federal 
     Trade Commission shall submit a report to the Committee on 
     Banking, Housing, and Urban Affairs of the Senate and the 
     Committee on Financial Services of the House of 
     Representatives containing a detailed summary of the findings 
     and conclusions of the study under this section, together 
     with such recommendations for legislative or administrative 
     actions as may be appropriate.

 TITLE IV--LIMITING THE USE AND SHARING OF MEDICAL INFORMATION IN THE 
                            FINANCIAL SYSTEM

     SEC. 411. PROTECTION OF MEDICAL INFORMATION IN THE FINANCIAL 
                   SYSTEM.

       (a) In General.--Section 604(g) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681b(g)) is amended to read as 
     follows:
       ``(g) Protection of Medical Information.--
       ``(1) Limitation on consumer reporting agencies.--A 
     consumer reporting agency shall not furnish for employment 
     purposes, or in connection with a credit or insurance 
     transaction, a consumer report that contains medical 
     information about a consumer, unless--
       ``(A) if furnished in connection with an insurance 
     transaction, the consumer affirmatively consents to the 
     furnishing of the report;
       ``(B) if furnished for employment purposes or in connection 
     with a credit transaction--
       ``(i) the information to be furnished is relevant to 
     process or effect the employment or credit transaction; and
       ``(ii) the consumer provides specific written consent for 
     the furnishing of the report that describes in clear and 
     conspicuous language the use for which the information will 
     be furnished; or
       ``(C) such information is restricted or reported using 
     codes that do not identify, or provide information sufficient 
     to infer, the specific provider or the nature of such 
     services, products, or devices to a person other than the 
     consumer, unless the report is being provided to an insurance 
     company for a purpose relating to engaging in the business of 
     insurance, other than property and casualty insurance.
       ``(2) Limitation on creditors.--Except as permitted 
     pursuant to paragraph (3)(C) or regulations prescribed under 
     paragraph (5)(A), a creditor shall not obtain or use medical 
     information pertaining to a consumer in connection with any 
     determination of the consumer's eligibility, or continued 
     eligibility, for credit.
       ``(3) Actions authorized by federal law, insurance 
     activities and regulatory determinations.--Section 603(d)(3) 
     shall not be construed so as to treat information or any 
     communication of information as a consumer report if the 
     information or communication is disclosed--
       ``(A) in connection with the business of insurance or 
     annuities, including the activities described in section 18B 
     of the model Privacy of Consumer Financial and Health 
     Information Regulation issued by the National Association of 
     Insurance Commissioners (as in effect on January 1, 2003);
       ``(B) for any purpose permitted without authorization under 
     the Standards for Individually Identifiable Health 
     Information promulgated by the Department of Health and Human 
     Services pursuant to the Health Insurance Portability and 
     Accountability Act of 1996, or referred to under section 1179 
     of such Act, or described in section 502(e) of Public Law 
     106-102; or
       ``(C) as otherwise determined to be necessary and 
     appropriate, by regulation or order and subject to paragraph 
     (6), by the Federal Trade Commission, any Federal banking 
     agency or the National Credit Union Administration (with 
     respect to any financial institution subject to the 
     jurisdiction of such agency or Administration under paragraph 
     (1), (2), or (3) of section 621(b), or the applicable State 
     insurance authority (with respect to any person engaged in 
     providing insurance or annuities).
       ``(4) Limitation on redisclosure of medical information.--
     Any person that receives medical information pursuant to 
     paragraph (1) or (3) shall not disclose such information to 
     any other person, except as necessary to carry out the 
     purpose for which the information was initially disclosed, or 
     as otherwise permitted by statute, regulation, or order.
       ``(5) Regulations and effective date for paragraph (2).--
       ``(A) Regulations required.--Each Federal banking agency 
     and the National Credit Union Administration shall, subject 
     to paragraph (6) and after notice and opportunity for 
     comment, prescribe regulations that permit transactions under 
     paragraph (2) that are determined to be necessary and 
     appropriate to protect legitimate operational, transactional, 
     risk, consumer, and other needs, consistent with the intent 
     of paragraph (2) to restrict the use of medical information 
     for inappropriate purposes.
       ``(B) Final regulations required.--The Federal banking 
     agencies and the National Credit Union Administration shall 
     issue the regulations required under subparagraph (A) in 
     final form before the end of the 6-month period beginning on 
     the date of enactment of the National Consumer Credit 
     Reporting System Improvement Act of 2003.
       ``(6) Coordination with other laws.--No provision of this 
     subsection shall be construed as altering, affecting, or 
     superseding the applicability of any other provision of 
     Federal law relating to medical confidentiality.''.
       (b) Restriction on Sharing of Medical Information.--Section 
     603(d) of the Fair Credit Reporting Act (15 U.S.C. 1681a(d)) 
     is amended--
       (1) in paragraph (2), by striking ``The term'' and 
     inserting ``Except as provided in paragraph (3), the term''; 
     and
       (2) by adding at the end the following new paragraph:
       ``(3) Restriction on sharing of medical information.--
     Except for information or any communication of information 
     disclosed as provided in section 604(g)(3), the exclusions

[[Page 26965]]

     in paragraph (2) shall not apply with respect to information 
     disclosed to any person related by common ownership or 
     affiliated by corporate control, if--
       ``(A) the information is medical information; or
       ``(B) the information is an individualized list or 
     description based on a consumer's payment transactions for 
     medical products or services, or an aggregate list of 
     identified consumers based on payment transactions for 
     medical products or services.''.
       (c) Effective Dates.--This section shall take effect at the 
     end of the 180-day period beginning on the date of enactment 
     of this Act, except that paragraph (2) of section 604(g) of 
     the Fair Credit Reporting Act (as amended by subsection (a)) 
     shall take effect on the later of--
       (1) the end of the 90-day period beginning on the date on 
     which the regulations required under paragraph (5)(B) of such 
     section 604(g) (as added by subsection (a) of this section) 
     are issued in final form; or
       (2) the date specified in the regulations referred to in 
     paragraph (1).

     SEC. 412. CONFIDENTIALITY OF MEDICAL CONTACT INFORMATION IN 
                   CONSUMER REPORTS.

       (a) Duties of Medical Information Furnishers.--Section 
     623(a) of the Fair Credit Reporting Act (15 U.S.C. 1681s-
     2(a)) is amended by adding at the end the following:
       ``(6) Duty to provide notice of status as medical 
     information furnisher.--A person whose primary business is 
     providing medical services, products, or devices, or the 
     person's agent or assignee, who furnishes information to a 
     consumer reporting agency on a consumer shall be considered a 
     medical information furnisher for purposes of this title, and 
     shall notify the agency of such status.''.
       (b) Restriction of Dissemination of Medical Contact 
     Information.--Section 605(a) of the Fair Credit Reporting Act 
     (15 U.S.C. 1681c(a)) is amended by adding at the end the 
     following:
       ``(6) The name, address, and telephone number of any 
     medical information furnisher that has notified the agency of 
     its status, unless--
       ``(A) such name, address, and telephone number are 
     restricted or reported using codes that do not identify, or 
     provide information sufficient to infer, the specific 
     provider or the nature of such services, products, or devices 
     to a person other than the consumer; or
       ``(B) the report is being provided to an insurance company 
     for a purpose relating to engaging in the business of 
     insurance other than property and casualty insurance.''.
       (c) No Exceptions Allowed for Dollar Amounts.--Section 
     605(b) of the Fair Credit Reporting Act (15 U.S.C. 1681c(b)) 
     is amended by striking ``The provisions of subsection (a)'' 
     and inserting ``The provisions of paragraphs (1) through (5) 
     of subsection (a)''.
       (d) Coordination With Other Laws.--No provision of any 
     amendment made by this section shall be construed as 
     altering, affecting, or superseding the applicability of any 
     other provision of Federal law relating to medical 
     confidentiality.
       (e) FTC Regulation of Coding of Trade Names.--Section 621 
     of the Fair Credit Reporting Act (15 U.S.C. 1681s), as 
     amended by this Act, is amended by adding at the end the 
     following:
       ``(g) FTC Regulation of Coding of Trade Names.--If the 
     Federal Trade Commission determines that a person described 
     in paragraph (6) of section 623(a) has not met the 
     requirements of such paragraph, the Commission shall take 
     action to ensure the person's compliance with such paragraph, 
     which may include issuing model guidance or prescribing 
     reasonable policies and procedures as necessary to ensure 
     that such person complies with such paragraph.''.
       (f) Technical and Conforming Amendments.--Section 604(g) of 
     the Fair Credit Reporting Act (15 U.S.C. 1681b(g)), as 
     amended by section 411 of this Act, is amended--
       (1) in paragraph (1), by inserting ``(other than medical 
     contact information treated in the manner required under 
     section 605(a)(6))'' after ``a consumer report that contains 
     medical information''; and
       (2) in paragraph (2), by inserting ``(other than medical 
     information treated in the manner required under section 
     605(a)(6))'' after ``a creditor shall not obtain or use 
     medical information''.
       (g) Effective Date.--The amendments made by this section 
     shall take effect at the end of the 15-month period beginning 
     on the date of enactment of this Act.

         TITLE V--FINANCIAL LITERACY AND EDUCATION IMPROVEMENT

     SEC. 511. SHORT TITLE.

       This title may be cited as the ``Financial Literacy and 
     Education Improvement Act''.

     SEC. 512. DEFINITIONS.

       As used in this title--
       (1) the term ``Chairperson'' means the Chairperson of the 
     Financial Literacy and Education Commission; and
       (2) the term ``Commission'' means the Financial Literacy 
     and Education Commission established under section 513.

     SEC. 513. ESTABLISHMENT OF FINANCIAL LITERACY AND EDUCATION 
                   COMMISSION.

       (a) In General.--There is established a commission to be 
     known as the ``Financial Literacy and Education Commission''.
       (b) Purpose.--The Commission shall serve to improve the 
     financial literacy and education of persons in the United 
     States.
       (c) Membership.--
       (1) Composition.--The Commission shall be composed of--
       (A) the Secretary of the Treasury;
       (B) the respective head of each of the Federal banking 
     agencies (as defined in section 3 of the Federal Deposit 
     Insurance Act), the National Credit Union Administration, the 
     Securities and Exchange Commission, each of the Departments 
     of Education, Agriculture, Defense, Health and Human 
     Services, Housing and Urban Development, Labor, and Veterans 
     Affairs, the Federal Trade Commission, the General Services 
     Administration, the Small Business Administration, the Social 
     Security Administration, the Commodity Futures Trading 
     Commission, and the Office of Personnel Management; and
       (C) at the discretion of the President, not more than 5 
     individuals appointed by the President from among the 
     administrative heads of any other Federal agencies, 
     departments, or other Government entities, whom the President 
     determines to be engaged in a serious effort to improve 
     financial literacy and education.
       (2) Alternates.--Each member of the Commission may 
     designate an alternate if the member is unable to attend a 
     meeting of the Commission. Such alternate shall be an 
     individual who exercises significant decisionmaking 
     authority.
       (d) Chairperson.--The Secretary of the Treasury shall serve 
     as the Chairperson.
       (e) Meetings.--The Commission shall hold, at the call of 
     the Chairperson, at least 1 meeting every 4 months. All such 
     meetings shall be open to the public. The Commission may 
     hold, at the call of the Chairperson, such other meetings as 
     the Chairperson sees fit to carry out this title.
       (f) Quorum.--A majority of the members of the Commission 
     shall constitute a quorum, but a lesser number of members may 
     hold hearings.
       (g) Initial Meeting.--The Commission shall hold its first 
     meeting not later than 60 days after the date of enactment of 
     this Act.

     SEC. 514. DUTIES OF THE COMMISSION.

       (a) Duties.--
       (1) In general.--The Commission, through the authority of 
     the members referred to in section 513(c), shall take such 
     actions as it deems necessary to streamline, improve, or 
     augment the financial literacy and education programs, 
     grants, and materials of the Federal Government, including 
     curricula for all Americans.
       (2) Areas of emphasis.--To improve financial literacy and 
     education, the Commission shall emphasize, among other 
     elements, basic personal income and household money 
     management and planning skills, including how to--
       (A) create household budgets, initiate savings plans, and 
     make strategic investment decisions for education, 
     retirement, home ownership, wealth building, or other savings 
     goals;
       (B) manage spending, credit, and debt, including credit 
     card debt, effectively;
       (C) increase awareness of the availability and significance 
     of credit reports and credit scores in obtaining credit, the 
     importance of their accuracy (and how to correct 
     inaccuracies), their effect on credit terms, and the effect 
     common financial decisions may have on credit scores;
       (D) ascertain fair and favorable credit terms;
       (E) avoid abusive, predatory, or deceptive credit offers 
     and financial products;
       (F) understand, evaluate, and compare financial products, 
     services, and opportunities;
       (G) understand resources that ought to be easily accessible 
     and affordable, and that inform and educate investors as to 
     their rights and avenues of recourse when an investor 
     believes his or her rights have been violated by 
     unprofessional conduct of market intermediaries; and
       (H) improve financial literacy and education through all 
     other related skills.
       (b) Website.--
       (1) In general.--The Commission shall establish and 
     maintain a website, such as the domain name 
     ``FinancialLiteracy.gov'', or a similar domain name.
       (2) Purposes.--The website established under paragraph (1) 
     shall--
       (A) serve as a clearinghouse of information about Federal 
     financial literacy and education programs;
       (B) provide a coordinated entry point for accessing 
     information about all Federal publications, grants, and 
     materials promoting enhanced financial literacy and 
     education;
       (C) offer information on all Federal grants to promote 
     financial literacy and education, and on how to target, apply 
     for, and receive a grant that is most appropriate under the 
     circumstances;
       (D) as the Commission considers appropriate, feature 
     website links to efforts that have no commercial content and 
     that feature information about financial literacy and 
     education programs, materials, or campaigns; and
       (E) offer such other information as the Commission finds 
     appropriate to share with the public in the fulfillment of 
     its purpose.

[[Page 26966]]

       (c) Toll-Free Hotline.--The Commission shall establish a 
     toll-free telephone number that shall be made available to 
     members of the public seeking information about issues 
     pertaining to financial literacy and education.
       (d) Development and Dissemination of Materials.--The 
     Commission shall--
       (1) develop materials to promote financial literacy and 
     education; and
       (2) disseminate such materials to the general public.
       (e) Coordination of Efforts.--The Commission shall take 
     such steps as are necessary to coordinate and promote 
     financial literacy and education efforts at the State and 
     local level, including promoting partnerships among Federal, 
     State, and local governments, nonprofit organizations, and 
     private enterprises.
       (f) National Strategy.--
       (1) In general.--The Commission shall--
       (A) not later than 18 months after the date of enactment of 
     this Act, develop a national strategy to promote basic 
     financial literacy and education among all American 
     consumers; and
       (B) coordinate Federal efforts to implement the strategy 
     developed under subparagraph (A).
       (2) Strategy.--The strategy to promote basic financial 
     literacy and education required to be developed under 
     paragraph (1) shall provide for--
       (A) participation by State and local governments and 
     private, nonprofit, and public institutions in the creation 
     and implementation of such strategy;
       (B) the development of methods--
       (i) to increase the general financial education level of 
     current and future consumers of financial services and 
     products; and
       (ii) to enhance the general understanding of financial 
     services and products;
       (C) review of Federal activities designed to promote 
     financial literacy and education, and development of a plan 
     to improve coordination of such activities; and
       (D) the identification of areas of overlap and duplication 
     among Federal financial literacy and education activities and 
     proposed means of eliminating any such overlap and 
     duplication.
       (3) National strategy review.--The Commission shall, not 
     less than annually, review the national strategy developed 
     under this subsection and make such changes and 
     recommendations as it deems necessary
       (g) Consultation.--The Commission shall actively consult 
     with a variety of representatives from private and nonprofit 
     organizations and State and local agencies, as determined 
     appropriate by the Commission.
       (h) Reports.--
       (1) In general.--Not later than 18 months after the date of 
     the first meeting of the Commission, and annually thereafter, 
     the Commission shall issue a report to the Committee on 
     Banking, Housing, and Urban Affairs of the Senate and the 
     Committee on Financial Services of the House of 
     Representatives on the progress of the Commission in carrying 
     out this title.
       (2) Contents.--The report required under paragraph (1) 
     shall include--
       (A) information concerning the implementation of the duties 
     of the Commission under subsections (a) through (g);
       (B) an assessment of the success of the Commission in 
     implementing the national strategy developed under subsection 
     (f);
       (C) an assessment of the availability, utilization, and 
     impact of Federal financial literacy and education materials;
       (D) information concerning the content and public use of--
       (i) the website established under subsection (b); and
       (ii) the toll-free telephone number established under 
     subsection (c);
       (E) a brief survey of the financial literacy and education 
     materials developed under subsection (d), and data regarding 
     the dissemination and impact of such materials, as measured 
     by improved financial decision making;
       (F) a brief summary of any hearings conducted by the 
     Commission, including a list of witnesses who testified at 
     such hearings;
       (G) information about the activities of the Commission 
     planned for the next fiscal year;
       (H) a summary of all Federal financial literacy and 
     education activities targeted to communities that have 
     historically lacked access to financial literacy materials 
     and education, and have been underserved by the mainstream 
     financial systems; and
       (I) such other materials relating to the duties of the 
     Commission as the Commission deems appropriate.
       (3) Initial report.--The initial report under paragraph (1) 
     shall include information regarding all Federal programs, 
     materials, and grants which seek to improve financial 
     literacy, and assess the effectiveness of such programs.
       (i) Testimony.--The Commission shall provide, upon request, 
     testimony by the Chairperson to the Committee on Banking, 
     Housing, and Urban Affairs of the Senate and the Committee on 
     Financial Services of the House of Representatives.

     SEC. 515. POWERS OF THE COMMISSION.

       (a) Hearings.--The Commission may hold such hearings, sit 
     and act at such times and places, take such testimony, and 
     receive such evidence as the Commission considers advisable 
     to carry out this title.
       (b) Information From Federal Agencies.--The Commission may 
     secure directly from any Federal department or agency such 
     information as the Commission considers necessary to carry 
     out this title. Upon request of the Chairperson, the head of 
     such department or agency shall furnish such information to 
     the Commission.
       (c) Periodic Studies.--The Commission may conduct periodic 
     studies regarding the state of financial literacy and 
     education in the United States, as the Commission determines 
     appropriate.

     SEC. 516. COMMISSION PERSONNEL MATTERS.

       (a) Compensation of Members.--Each member of the Commission 
     shall serve without compensation in addition to that received 
     for their service as an officer or employee of the United 
     States.
       (b) Travel Expenses.--The members of the Commission shall 
     be allowed travel expenses, including per diem in lieu of 
     subsistence, at rates authorized for employees of agencies 
     under subchapter I of chapter 57 of title 5, United States 
     Code, while away from their homes or regular places of 
     business in the performance of services for the Commission.
       (c) Assistance.--
       (1) In general.--The Director of the Office of Financial 
     Education of the Department of the Treasury shall provide 
     assistance to the Commission, upon request of the Commission, 
     without reimbursement.
       (2) Detail of government employees.--Any Federal Government 
     employee may be detailed to the Commission without 
     reimbursement, and such detail shall be without interruption 
     or loss of civil service status or privilege.

     SEC. 517. STUDY BY THE COMPTROLLER GENERAL.

       Not later than 3 years after the date of enactment of this 
     Act, the Comptroller General of the United States shall 
     submit a report to Congress assessing the effectiveness of 
     the Commission in promoting financial literacy and education.

     SEC. 518. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Commission 
     such sums as may be necessary to carry out this title, 
     including administrative expenses of the Commission.

                    TITLE VI--RELATION TO STATE LAW

     SEC. 611. RELATION TO STATE LAW.

       Section 625(d) of the Fair Credit Reporting Act (15 U.S.C. 
     1681t(d), regarding relation to State laws), as so designated 
     by section 214 of this Act, is amended--
       (1) by striking paragraph (2);
       (2) by striking ``(c)--'' and all that follows through ``do 
     not affect'' and inserting ``(c) do not affect''; and
       (3) by striking ``1996; and'' and inserting ``1996.''.

                        TITLE VII--MISCELLANEOUS

     SEC. 711. CLERICAL AMENDMENTS.

       (a) Short Title.--Section 601 of the Fair Credit Reporting 
     Act (15 U.S.C. 1601 note) is amended by striking ``the Fair 
     Credit Reporting Act.'' and inserting ``the `Fair Credit 
     Reporting Act'.''.
       (b) Section 604.--Section 604(a) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681b(a)) is amended in paragraphs 
     (1) through (5), other than subparagraphs (E) and (F) of 
     paragraph (3), by moving each margin 2 ems to the right.
       (c) Section 605.--
       (1) Section 605(a)(1) of the Fair Credit Reporting Act (15 
     U.S.C. 1681c(a)(1)) is amended by striking ``(1) cases'' and 
     inserting ``(1) Cases''.
       (2)(A) Section 5(1) of Public Law 105-347 (112 Stat. 3211) 
     is amended by striking ``Judgments which'' and inserting 
     ``judgments which''.
       (B) The amendment made by subparagraph (A) shall be deemed 
     to have the same effective date as section 5(1) of Public Law 
     105-347 (112 Stat. 3211).
       (d) Section 609.--Section 609(a) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681g(a)) is amended--
       (1) in paragraph (2), by moving the margin 2 ems to the 
     right; and
       (2) in paragraph (3)(C), by moving the margins 2 ems to the 
     left.
       (e) Section 617.--Section 617(a)(1) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681o(a)(1)) is amended by adding 
     ``and'' at the end.
       (f) Section 621.--Section 621(b)(1)(B) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681s(b)(1)(B)) is amended by 
     striking ``25(a)'' and inserting ``25A''.
       (g) Title 31.--Section 5318 of title 31, United States 
     Code, is amended by redesignating the second item designated 
     as subsection (l) (relating to applicability of rules) as 
     subsection (m).
       (h) Conforming Amendment.--Section 2411(c) of Public Law 
     104-208 (110 Stat. 3009-445) is repealed.
                                 ______
                                 
  SA 2054. Mrs. FEINSTEIN (for herself, Mrs. Boxer, Mr. Harkin, Mr. 
Feingold, Mr. Durbin, Mr. Lautenberg, and Mr. Nelson of Florida) 
proposed an amendment to the bill S. 1753, to amend the Fair Credit 
Reporting Act in order to prevent identity theft, to

[[Page 26967]]

improve the use of and consumer access to consumer reports, to enhance 
the accuracy of consumer reports, to limit the sharing of certain 
consumer information, to improve financial education and literacy, and 
for other purposes; as follows:

       Strike section 214 and insert the following:

     SEC. 214. AFFILIATE SHARING.

       (a) Limitation.--The Fair Credit Reporting Act (15 U.S.C. 
     1601 et seq.) is amended--
       (1) by redesignating section 624, as so designated by 
     section 2413(b) of the Consumer Credit Reporting Reform Act 
     of 1996 (110 Stat. 3009-447), regarding relation to State 
     laws, as section 625;
       (2) by redesignating section 624, as added by section 
     601(a) of the Intelligence Authorization Act for Fiscal Year 
     1996 (Public Law 104-93; 109 Stat. 974) (15 U.S.C. 1681u)), 
     regarding disclosures to FBI for counterintelligence 
     purposes, as section 626; and
       (3) by inserting after section 623 the following:

     ``SEC. 624. AFFILIATE SHARING.

       ``(a) Opt-Out for Affiliate Sharing.--Any persons that are 
     related by common ownership or affiliated by corporate 
     control, and that share information that would be a consumer 
     report except for clause (i) or (ii) of section 603(d)(2), 
     shall provide to each consumer to which the information 
     relates, a notice that--
       ``(1) clearly and conspicuously discloses to the consumer 
     that the information may be shared among such persons for 
     marketing or other purposes; and
       ``(2) provides an opportunity and a simple method for the 
     consumer to prohibit the sharing of such information.
       ``(b) Exceptions.--Nothing in this section shall restrict 
     or prohibit the sharing of the information described in 
     subsection (a) between persons related by common ownership or 
     affiliated by corporate control--
       ``(1) if--
       ``(A) the persons are regulated by the same functional 
     regulator;
       ``(B) the affiliate disclosing such information and the 
     affiliate receiving such information are both principally 
     engaged in the same line of business;
       ``(C) the affiliate disclosing such information and the 
     affiliate receiving such information share a common brand, 
     excluding a brand consisting solely of a graphic element or 
     symbol, within their trade mark, service mark, or trade name, 
     which is used to identify the source of the products and 
     services provided; and
       ``(D) the affiliate disclosing such information and the 
     affiliate receiving such information are wholly owned 
     subsidiaries, whether wholly owned directly or wholly owned 
     indirectly in a chain of wholly owned subsidiaries, of the 
     same person or holding company;
       ``(2) as necessary to effect, administer, or enforce a 
     transaction requested or authorized by the consumer, or in 
     connection with--
       ``(A) servicing or processing a financial product or 
     service requested or authorized by the consumer;
       ``(B) maintaining or servicing the consumer's account with 
     any such affiliate as part of a private label credit card 
     program or other extension of credit on behalf of such 
     entity; or
       ``(C) a proposed or actual securitization, secondary market 
     sale (including sales of servicing rights), or similar 
     transaction related to a transaction of the consumer;
       ``(3) with the consent or at the direction of the consumer;
       ``(4) to protect the confidentiality or security of an 
     affiliate's records pertaining to the consumer, the service 
     or product, or the transaction therein;
       ``(5) to protect against or prevent actual or potential 
     fraud, identity theft, unauthorized transactions, claims, or 
     other liability;
       ``(6) for required institutional risk control, or for 
     resolving customer disputes or inquiries;
       ``(7) to persons holding a legal or beneficial interest 
     relating to the consumer, including for purposes of debt 
     collection;
       ``(8) to persons acting in a fiduciary or representative 
     capacity on behalf of the consumer;
       ``(9) to provide information to insurance rate advisory 
     organizations, guaranty funds or agencies, applicable rating 
     agencies, persons assessing an affiliate's compliance with 
     industry standards, and an affiliate's attorneys, 
     accountants, and auditors;
       ``(10) to the extent specifically permitted or required 
     under other provisions of law and in accordance with the 
     Right to Financial Privacy Act of 1978, to law enforcement 
     agencies (including a Federal functional regulator, the 
     Secretary of the Treasury with respect to subchapter II of 
     chapter 53 of title 31, United States Code, and chapter 2 of 
     title I of Public Law 91-508 (12 U.S.C. 1951-1959), a State 
     insurance authority, the Federal Trade Commission), a self-
     regulatory organization, as defined in section 3 of the 
     Securities Exchange Act of 1934, or for an investigation on a 
     matter related to public safety;
       ``(11) in connection with a proposed or actual sale, 
     merger, transfer, or exchange of all or a portion of a 
     business or operating unit if the disclosure of the 
     information concerns solely consumers of such business or 
     unit;
       ``(12) to comply with Federal, State, or local laws, rules, 
     and other applicable legal requirements; to comply with a 
     properly authorized civil, criminal, or regulatory 
     investigation or subpoena or summons by Federal, State, or 
     local authorities, or to respond to judicial process or 
     government regulatory authorities having jurisdiction over 
     the affiliate for examination, compliance, or other purposes 
     as authorized by law;
       ``(13) if such information is released to an affiliate in 
     order for the affiliate to perform business or professional 
     services, such as printing, mailing services, data processing 
     or analysis, or customer surveys, on behalf of another 
     affiliate, if--
       ``(A) the services to be performed by the affiliate could 
     lawfully be performed by the affiliate;
       ``(B) there is a written contract between the affiliates 
     that prohibits the affiliate from disclosing or using such 
     information other than to carry out the purpose for which the 
     information is disclosed, as set forth in the written 
     contract;
       ``(C) the information provided to the affiliate is limited 
     to that which is necessary for an affiliate to perform the 
     services contracted for on behalf of the other affiliate; and
       ``(D) the affiliate providing the information does not 
     receive any payment from or through the affiliate receiving 
     the information in connection with, or as a result of, the 
     release of the information;
       ``(14) if the information is released to identify or locate 
     missing and abducted children, witnesses, criminals and 
     fugitives, parties to lawsuits, parents delinquent in child 
     support payments, organ and bone marrow donors, pension fund 
     beneficiaries, and missing heirs, or to report a known or 
     suspected instance of elder or dependent adult financial 
     abuse;
       ``(15) if the information is released to a real estate 
     appraiser licensed or certified by a State for submission to 
     central data repositories and the information is compiled 
     strictly to complete other real estate appraisals and is not 
     used for any other purpose;
       ``(16) if the information is released as required by title 
     III of the Federal United and Strengthening America by 
     Providing Appropriate Tools Required to Intercept and 
     Obstruct Terrorism Act of 2001 (the USA PATRIOT ACT); or
       ``(17) if the information is released in connection with a 
     written agreement between a consumer and a broker-dealer 
     registered under the Securities Exchange Act of 1934, or an 
     investment adviser registered under the Investment Advisers 
     Act of 1940, to provide investment management services, 
     portfolio advisory services, or financial planning, and the 
     information is released for the sole purpose of providing the 
     products and services covered by that agreement.
       ``(c) No Effect on Existing Law.--Nothing in this section 
     is intended to affect any provision of law in effect on the 
     date of enactment of the National Consumer Credit Reporting 
     System Improvement Act of 2003 relating to access by law 
     enforcement agencies to information held by financial 
     institutions.
       ``(d) Limit on Reuse and Redisclosure.--A person that 
     receives information pursuant to--
       ``(1) paragraph (1) of subsection (b) shall not directly or 
     indirectly further disclose such information, except as 
     permitted under subsection (b); and
       ``(2) any of paragraphs (2) through (17) of subsection (b) 
     shall not use or disclose the information, except in the 
     ordinary course of business to carry out the activity covered 
     by the exception under which the information was received.
       ``(e) Notice for Other Purposes Permissible.--A notice or 
     other disclosure that is equivalent to the notice required by 
     subsection (a), and that is provided by a person described in 
     subsection (a) to a consumer, together with disclosures 
     required by any other provision of law, shall satisfy the 
     requirements of subsection (a).
       ``(f) Rule of Construction.--For purposes of this section, 
     a person does not disclose information to, or share 
     information, with, its affiliate solely because information 
     described in subsection (a) is maintained in a common 
     information system or database, and employees of the person 
     and its affiliate have access to that common information 
     system or database, or a consumer accesses a website jointly 
     operated or maintained under a common name by or on behalf of 
     the person and its affiliate, provided that in any case in 
     which a consumer has exercised his or her right to prohibit 
     the sharing of information pursuant to this section, the 
     information described in subsection (a) is not accessed, 
     disclosed, or used by an affiliate, except as permitted by 
     this section.
       ``(g) Definitions.--
       ``(1) Functional regulators.--For purposes of subsection 
     (b)(1)--
       ``(A) financial institutions regulated by the Office of the 
     Comptroller of the Currency, Office of Thrift Supervision, 
     National Credit Union Administration, or a State regulator of 
     depository institutions shall be deemed to be regulated by 
     the same functional regulator;
       ``(B) persons regulated by the Securities and Exchange 
     Commission, the United

[[Page 26968]]

     States Department of Labor, or a State securities regulator 
     shall be deemed to be regulated by the same functional 
     regulator; and
       ``(C) insurers licensed by a State, or otherwise permitted 
     by the State, to engage in the business of insurance shall be 
     deemed to be in compliance with subsection (b)(2).
       ``(2) Line of business.--As used in subsection (b)(2), the 
     term `same line of business' describes a condition where both 
     affiliates are principally engaged in the business of--
       ``(A) insurance;
       ``(B) banking;
       ``(C) securities; or
       ``(D) any other distinct line of business identified, by 
     rule, by the Federal Trade Commission.''.
       (b) Rulemaking Required.--
       (1) In general.--The Federal banking agencies (as defined 
     in section 3 of the Federal Deposit Insurance Act), the 
     National Credit Union Administration, and the Federal Trade 
     Commission shall jointly promulgate regulations to implement 
     section 624 of the Fair Credit Reporting Act, as amended by 
     this section.
       (2) Considerations.--In promulgating regulations under this 
     subsection, the agencies referred to in paragraph (1) shall--
       (A) ensure that affiliate sharing notification methods 
     provide a simple means for consumers to make determinations 
     and choices under section 624 of the Fair Credit Reporting 
     Act as amended by this section; and
       (B) consider the affiliate sharing notification practices 
     employed on the date of enactment of this Act by persons that 
     will be subject to that section 624.
       (3) Timing.--Regulations required by this subsection 
     shall--
       (A) be issued in final form not later than 6 months after 
     the date of enactment of this Act; and
       (B) become effective not later than 3 months after the date 
     on which they are issued in final form.
       (c) Conforming Amendment.--Section 603(d)(2)(A) of the Fair 
     Credit Reporting Act (15 U.S.C. 1681a(d)(2)(A)) is amended by 
     inserting ``subject to section 624,'' after ``(A)''.
       (d) Clerical Amendment.--The Consumer Credit Protection Act 
     (15 U.S.C. 1601 et seq.) is amended in the table of sections 
     for title VI, by striking the items following the item 
     relating to section 623 and inserting the following:

``624. Affiliate sharing.
``625. Relation to State laws.
``626. Disclosures to FBI for counterintelligence purposes.''.
       (e) Studies of Information Sharing Practices.--
       (1) In general.--The Federal banking agencies, the National 
     Credit Union Administration, and the Federal Trade Commission 
     shall jointly conduct regular studies of the consumer 
     information sharing practices by financial institutions and 
     other persons that are creditors or users of consumer reports 
     with their affiliates.
       (2) Matters for study.--In conducting the studies required 
     by paragraph (1), the agencies described in paragraph (1) 
     shall--
       (A) identify--
       (i) the purposes for which financial institutions and other 
     creditors and users of consumer reports share consumer 
     information;
       (ii) the types of information shared by such entities with 
     their affiliates;
       (iii) the number of choices provided to consumers with 
     respect to the control of such sharing, and the degree to and 
     manner in which consumers exercise such choices, if at all; 
     and
       (iv) whether such entities share or may share personally 
     identifiable transaction or experience information with 
     affiliates for purposes--

       (I) that are related to employment or hiring, including 
     whether the person that is the subject of such information is 
     given notice of such sharing, and the specific uses of such 
     shared information; or
       (II) of general publication of such information; and

       (B) specifically examine the information sharing practices 
     that financial institutions and other creditors and users of 
     consumer reports and their affiliates employ for the purpose 
     of making underwriting decisions or credit evaluations of 
     consumers.
       (3) Reports.--
       (A) Initial report.--Not later than 3 years after the date 
     of enactment of this Act, the Federal banking agencies, the 
     National Credit Union Administration, and the Federal Trade 
     Commission shall jointly submit a report to the Congress on 
     the results of the initial study conducted in accordance with 
     this subsection, together with any recommendations for 
     legislative or regulatory action.
       (B) Followup reports.--The Federal banking agencies, the 
     National Credit Union Administration, and the Federal Trade 
     Commission shall, not less frequently than once every 3 years 
     following the date of submission of the initial report under 
     subparagraph (A), jointly submit a report to the Congress 
     that, together with any recommendations for legislative or 
     regulatory action--
       (i) documents any changes in the areas of study referred to 
     in paragraph (2)(A) occurring since the date of submission of 
     the previous report;
       (ii) identifies any changes in the practices of financial 
     institutions and other creditors and users of consumer 
     reports in sharing consumer information with their affiliates 
     for the purpose of making underwriting decisions or credit 
     evaluations of consumers occurring since the date of 
     submission of the previous report; and
       (iii) examines the effects that changes described in clause 
     (ii) have had, if any, on the degree to which such affiliate 
     sharing practices reduce the need for financial institutions, 
     creditors, and other users of consumer reports to rely on 
     credit reports for such decisions.
       (f) Definitions.--As used in this section--
       (1) the terms ``consumer'', ``consumer report'', ``consumer 
     reporting agency'', ``creditor'', ``Federal banking 
     agencies'', and ``financial institution'', have the same 
     meanings as in section 603 of the Fair Credit Reporting Act, 
     as amended by this Act; and
       (2) the term ``affiliates'' means persons that are related 
     by common ownership or affiliated by corporate control.
                                 ______
                                 
  SA 2055. Mr. LUGAR submitted an amendment intended to be proposed by 
him to the bill S. 1585, making appropriations for the Departments of 
Commerce, Justice, and State, the Judiciary, and related agencies for 
the fiscal year ending September 30, 2004, and for other purposes; 
which was ordered to lie on the table; as follows:

       Beginning on page 63, strike line 20, and all that follows 
     through page 64, line 11, and insert the following:
       In addition, for the costs of worldwide security upgrades, 
     $644,373,000, to remain available until expended.


                        capital investment fund

       For necessary expenses of the Capital Investment Fund, 
     $157,000,000, to remain available until expended, as 
     authorized: Provided, That section 135(e) of Foreign 
     Relations Authorization Act, Fiscal Years 1994 and 1995 shall 
     not apply to funds available under this heading.
                                 ______
                                 
  SA 2056. Mr. LUGAR submitted an amendment intended to be proposed by 
him to the bill S. 1585, making appropriations for the Departments of 
Commerce, Justice, and State, the Judiciary, and related agencies for 
the fiscal year ending September 30, 2004, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 75, strike lines 1 through 22.
                                 ______
                                 
  SA 2057. Mr. LUGAR submitted an amendment intended to be proposed by 
him to the bill S. 1585, making appropriations for the Departments of 
Commerce, Justice, and State, the Judiciary, and related agencies for 
the fiscal year ending September 30, 2004, and for other purposes; 
which was ordered to lie on the table; as follows:

       Beginning on page 98, strike line 23 and all that follows 
     through page 99, line 18.

       On page 77, between lines 20 and 21, insert the following 
     new section:

                          (transfer of funds)

       Sec. 413. The funds appropriated in title II under the 
     heading ``international fisheries commissions'' are hereby 
     transferred to the Secretary of State for the purposes 
     described, and may be advanced as provided, under such 
     heading.
                                 ______
                                 
  SA 2058. Mr. LUGAR submitted an amendment intended to be proposed by 
him to the bill S. 1585, making appropriations for the Departments of 
Commerce, Justice, and State, the Judiciary, and related agencies for 
the fiscal year ending September 30, 2004, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 77, between lines 20 and 21, insert the following 
     new section:
       Sec. 413. It is the sense of Congress that the total amount 
     requested by the President for the Congress-Bundestag youth 
     exchange program, $2,994,000, should be made available for 
     the program in fiscal year 2004.
                                 ______
                                 
  SA 2059. Ms. CANTWELL (for herself, Mr. Enzi, and Mr. Leahy) 
submitted an amendment intended to be proposed by her to the bill S. 
1753, to amend the Fair Credit Reporting Act in order to prevent 
identity theft, to improve the use of and consumer access to consumer 
reports, to enhance the accuracy of consumer reports, to limit the 
sharing of certain consumer information, to improve financial education 
and literacy, and for other purposes; as follows:

       On page 22, line 6, strike the quotation marks and the 
     final period and insert the following:
       ``(e) Information Available to Victims.--
       ``(1) In general.--For the purpose of documenting 
     fraudulent transactions resulting from identity theft, not 
     later than 20 days

[[Page 26969]]

     after the date of receipt of a request from a victim in 
     accordance with paragraph (3), and subject to verification of 
     the identity of the victim and the claim of identity theft in 
     accordance with paragraph (2), a business entity that has 
     provided credit to, provided for consideration products, 
     goods, or services to, accepted payment from, or otherwise 
     entered into a commercial transaction for consideration with, 
     a person who has allegedly made unauthorized use of the means 
     of identification of the victim, shall provide a copy of 
     application and business transaction records in the control 
     of the business entity, whether maintained by the business 
     entity or by another person on behalf of the business entity, 
     evidencing any transaction alleged to be a result of identity 
     theft to--
       ``(A) the victim;
       ``(B) any Federal, State, or local governing law 
     enforcement agency or officer specified by the victim in such 
     a request; or
       ``(C) any law enforcement agency investigating the identity 
     theft and authorized by the victim to take receipt of records 
     provided under this subsection.
       ``(2) Verification of identity and claim.--Before a 
     business entity provides any information under paragraph (1), 
     unless the business entity, at its discretion, is otherwise 
     able to verify the identity of the victim making a request 
     under paragraph (1), the victim shall provide to the business 
     entity--
       ``(A) as proof of positive identification of the victim, at 
     the election of the business entity--
       ``(i) the presentation of a government-issued 
     identification card;
       ``(ii) personally identifying information of the same type 
     as was provided to the business entity by the unauthorized 
     person; or
       ``(iii) personally identifying information that the 
     business entity typically requests from new applicants or for 
     new transactions, at the time of the victim's request for 
     information, including any documentation described in clauses 
     (i) and (ii); and
       ``(B) as proof of a claim of identity theft, at the 
     election of the business entity--
       ``(i) a copy of a police report evidencing the claim of the 
     victim of identity theft; and
       ``(ii) a properly completed--

       ``(I) copy of a standardized affidavit of identity theft 
     developed and made available by the Federal Trade Commission; 
     or
       ``(II) an affidavit of fact that is acceptable to the 
     business entity for that purpose.

       ``(3) Procedures.--The request of a victim under paragraph 
     (1) shall--
       ``(A) be in writing; and
       ``(B) be mailed to an address specified by the business 
     entity, if any.
       ``(4) No charge to victim.--Information required to be 
     provided under paragraph (1) shall be so provided without 
     charge.
       ``(5) Authority to decline to provide information.--A 
     business entity may decline to provide information under 
     paragraph (1) if, in the exercise of good faith, the business 
     entity determines that--
       ``(A) this subsection does not require disclosure of the 
     information;
       ``(B) the request for the information is based on a 
     misrepresentation of fact by the individual requesting the 
     information relevant to the request for information; or
       ``(C) the information requested is Internet navigational 
     data or similar information about a person's visit to a 
     website or online service.
       ``(6) Limitation on liability.--Except as provided in 
     section 621, sections 616 and 617 do not apply to any 
     violation of this subsection.
       ``(7) No new recordkeeping obligation.--Nothing in this 
     subsection creates an obligation on the part of a business 
     entity to obtain, retain, or maintain information or records 
     that are not otherwise required to be obtained, retained, or 
     maintained in the ordinary course of its business or under 
     other applicable law.
       ``(8) Rule of construction.--
       ``(A) In general.--No provision of Federal or State law 
     (except a law involving the nondisclosure of information 
     related to a pending Federal criminal investigation) 
     prohibiting the disclosure of financial information by a 
     business entity to third parties shall be used to deny 
     disclosure of information to the victim under this 
     subsection.
       ``(B) Limitation.--Except as provided in subparagraph (A), 
     nothing in this subsection permits a business entity to 
     disclose information, including information to law 
     enforcement under subparagraphs (B) and (C) of paragraph (1), 
     that the business entity is otherwise prohibited from 
     disclosing under any other applicable provision of Federal or 
     State law.
       ``(9) Affirmative defense.--In any civil action brought to 
     enforce this subsection, it is an affirmative defense (which 
     the defendant must establish by a preponderance of the 
     evidence) for a business entity to file an affidavit or 
     answer stating that--
       ``(A) the business entity has made a reasonably diligent 
     search of its available business records; and
       ``(B) the records requested under this subsection do not 
     exist or are not available.
       ``(10) Definition of victim.--For purposes of this 
     subsection, the term `victim' means a consumer whose means of 
     identification or financial information has been used or 
     transferred (or has been alleged to have been used or 
     transferred) without the authority of that consumer, with the 
     intent to commit, or to aid or abet, identity theft or any 
     other violation of law.''.
       On page 33, line 6, strike ``7'' and insert ``5''.
       On page 41, line 19, strike ``(e)'' and insert ``(f)''.
       On page 47, line 1, strike ``(e)'' and insert ``(f)''.
                                 ______
                                 
  SA 2060. Mrs. BOXER (for herself and Mrs. Feinstein) proposed an 
amendment to the bill S. 1753, to amend the Fair Credit Reporting Act 
in order to prevent identity theft, to improve the use of and consumer 
access to consumer reports, to enhance the accuracy of consumer 
reports, to limit the sharing of certain consumer information, to 
improve financial education and literacy, and for other purposes; as 
follows:

       On page 50, strike line 12 and all that follows through 
     page 51, line 3 and insert the following:
       ``(3) Duration.--The election of a consumer pursuant to 
     paragraph (1)(B) to prohibit the sending of solicitations 
     shall be effective permanently, beginning on the date on 
     which the person receives the election of the consumer, 
     unless the consumer requests that such election be revoked.
       ``(4) Definition.--For purposes of this section, the term 
     `pre-existing business relationship' means a relationship 
     between a person and a consumer, based on--
       ``(A) the purchase, rental, or lease by the consumer of 
     that person's goods or services, or a financial transaction 
     between the consumer and that person during the 18-month 
     period immediately preceding the date on which the consumer 
     receives the notice required under this section; or
       ``(B) an inquiry or application by the consumer regarding a 
     product or service offered by that person, during the 3-month 
     period immediately preceding the date on which the consumer 
     receives the notice required under this section.
       ``(5) Scope.--This section shall not apply to a''.
                                 ______
                                 
  SA 2061. Mrs. FEINSTEIN (for herself, Mrs. Boxer, and Mr. Kennedy) 
proposed an amendment to the bill S. 1753, to amend the Fair Credit 
Reporting Act in order to prevent identity theft, to improve the use of 
and consumer access to consumer reports, to enhance the accuracy of 
consumer reports, to limit the sharing of certain consumer information, 
to improve financial education and literacy, and for other purposes; as 
follows:

       On page 81, strike lines 6 through 15 and insert the 
     following: ``to any person related by common ownership or 
     affiliated by corporate control, if the information is 
     medical information, including information that is an 
     individualized list or description based on the payment 
     transactions of the consumer for medical products or 
     services, or an aggregate list of identified consumers based 
     on payment transactions for medical products or services.''.
       (c) Definition.--Section 603(i) of the Fair Credit 
     Reporting Act (15 U.S.C. 1681a(i)) is amended to read as 
     follows:
       ``(i) Medical Information.--The term `medical information' 
     means information or data, other than age or gender, whether 
     oral or recorded, in any form or medium, created by or 
     derived from a health care provider or the consumer, that 
     relates to--
       ``(1) the past, present, or future physical, mental, or 
     behavioral health or condition of an individual;
       ``(2) the provision of health care to an individual; or
       ``(3) the payment for the provision of health care to an 
     individual.''.
                                 ______
                                 
  SA 2062. Mr. DURBIN proposed an amendment to the bill S. 1753, to 
amend the Fair Credit Reporting Act in order to prevent identity theft, 
to improve the use of and consumer access to consumer reports, to 
enhance the accuracy of consumer reports, to limit the sharing of 
certain consumer information, to improve financial education and 
literacy, and for other purposes; as follows:

       At the end of section 312, insert the following:
       (c) Reports to Consumer Reporting Agencies.--
       (1) Reports.--Section 430A(a) of the Higher Education Act 
     of 1965 (20 U.S.C. 1080a(a)) is amended to read as follows:
       ``(a) Agreements to Exchange Information.--
       ``(1) In general.--For the purpose of promoting responsible 
     repayment of loans covered by Federal loan insurance pursuant 
     to this title or covered by a guaranty agreement pursuant to 
     section 428, the Secretary, each guaranty agency, eligible 
     lender, and subsequent holder shall enter into an agreement 
     with each national consumer reporting agency as described in 
     section 603(p) of the

[[Page 26970]]

     Fair Credit Reporting Act (15 U.S.C. 1681a(p)) to exchange 
     such information as is required by the Secretary concerning 
     each borrower of a loan made, insured, or guaranteed under 
     this title who is served by the Secretary, agency, lender, or 
     holder, respectively, regardless of the default status of the 
     borrower. Such information shall be reported to the agencies 
     regularly, shall be identified as pertaining to such a loan, 
     and shall include any positive or negative repayment 
     information relevant to the borrower.
       ``(2) Objections raised by borrowers.--For the purpose of 
     assisting the reporting agencies in complying with the Fair 
     Credit Reporting Act, such agreements may provide for timely 
     response by the Secretary (concerning loans covered by 
     Federal loan insurance), by a guaranty agency, eligible 
     lender, or subsequent holder (concerning loans covered by a 
     guaranty agreement), or to requests from the reporting 
     agencies, for responses to objections raised by borrowers.
       ``(3) Nonpayment.--Subject to the requirements of 
     subsection (c), such agreements shall require the Secretary, 
     the guaranty agency, eligible lender, or subsequent holder, 
     as appropriate, to disclose to the reporting agencies, with 
     respect to any loan under this part that has not been repaid 
     by the borrower--
       ``(A) the total amount of loans made to any borrower under 
     this part and the remaining balance of the loans;
       ``(B) information concerning the date of any default on the 
     loan and the collection of the loan, including information 
     concerning the repayment status of any defaulted loan on 
     which the Secretary has made a payment pursuant to section 
     430(a) or the guaranty agency has made a payment to the 
     previous holder of the loan; and
       ``(C) the date of cancellation of the note upon completion 
     of repayment by the borrower of the loan or payment by the 
     Secretary pursuant to section 437.''.
       (2) Technical and Conforming Amendments.--The Higher 
     Education Act of 1965 (20 U.S.C. 1001 et seq.) is amended--
       (A) in section 427(a)(2)(G)(i) (20 U.S.C. 
     1077(a)(2)(G)(i)), by striking ``credit bureau 
     organizations'' and inserting ``reporting agencies'';
       (B) in section 428C(b)(4)(E)(i) (20 U.S.C. 1078-
     3(b)(4)(E)(i)), by striking ``credit bureau organizations'' 
     and inserting ``reporting agencies''; and
       (C) in section 430A (20 U.S.C. 1080a)--
       (i) in subsection (b)--

       (I) by striking ``such organizations'' and inserting ``the 
     reporting agencies''; and
       (II) by striking ``(a)(2)'' and inserting ``(a)(3)(B)'';

       (ii) in subsection (c)(2), by striking ``such 
     organizations'' and inserting ``the reporting agencies'';
       (iii) in subsection (b)(4)--

       (I) by striking ``(a)(2)'' and inserting ``(a)(3)(B)''; and
       (II) by striking ``credit bureau organizations'' and 
     inserting ``the reporting agencies'';

       (iv) in subsection (d), by striking ``credit bureau 
     organization'' and inserting ``reporting agency''; and
       (v) in subsection (f), by striking ``consumer reporting 
     agency'' each place the term appears and inserting 
     ``reporting agency''.
                                 ______
                                 
  SA 2063. Mr. LAUTENBERG (for himself, Ms. Mikulski, Mr. Jeffords, 
Mrs. Boxer, Mr. Corzine, Mr. Schumer, Mr. Leahy, Mr. Lieberman, Mr. 
Kerry, and Mr. Kennedy) submitted an amendment intended to be proposed 
by him to the bill H.R. 2861, making appropriations for the Departments 
of Veterans Affairs and Housing and Urban Development, and for sundry 
independent agencies, boards, commissions, corporations, and offices 
for the fiscal year ending September 30, 2004, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 98, line 5, before the period at the end, insert 
     the following: ``, of which, in addition to any other amounts 
     provided under this heading for compliance monitoring, civil 
     enforcement, and capacity building in the Office of 
     Enforcement and Compliance Assurance, $5,400,000 shall be 
     made available for those activities''.
                                 ______
                                 
  SA 2064. Mr. CORZINE proposed an amendment to the bill S. 1753, to 
amend the Fair Credit Reporting Act in order to prevent identity theft, 
to improve the use of and consumer access to consumer reports, to 
enhance the accuracy of consumer reports, to limit the sharing of 
certain consumer information, to improve financial education and 
literacy, and for other purposes; as follows:

       On page 16, line 25, strike the period at the end and 
     insert the following: ``; and
       ``(C) prescribe regulations requiring each financial 
     institution and each other person that is a creditor or other 
     user of a consumer report to notify the Federal Trade 
     Commission (and any other agency or person that such 
     rulemaking agency determines appropriate) in any case in 
     which there has been, or is reasonably believed to have been 
     unauthorized access to computerized or physical records which 
     compromises the security, confidentiality, or integrity of 
     consumer information maintained by or on behalf of that 
     entity, except that such regulations shall not apply to a 
     good faith acquisition of information by an employee or agent 
     of such entity for a business purpose of that entity, if the 
     information is not subject to further unauthorized access.''.
                                 ______
                                 
  SA 2065. Mr. FEINGOLD proposed an amendment to the bill S. 1753, to 
amend the Fair Credit Reporting Act in order to prevent identity theft, 
to improve the use of and consumer access to consumer reports, to 
enhance the accuracy of consumer reports, to limit the sharing of 
certain consumer information, to improve financial education and 
literacy, and for other purposes; as follows:

       At the appropriate place, insert the following:

     SEC. __. DATA-MINING REPORTING ACT OF 2003.

       (a) Short Title.--This section may be cited as the ``Data-
     Mining Reporting Act of 2003''.
       (b) Definitions.--In this section:
       (1) Data-mining.--The term ``data-mining'' means a query or 
     search or other analysis of 1 or more electronic databases, 
     where--
       (A) at least 1 of the databases was obtained from or 
     remains under the control of a non-Federal entity, or the 
     information was acquired initially by another department or 
     agency of the Federal Government for purposes other than 
     intelligence or law enforcement;
       (B) the search does not use a specific individual's 
     personal identifiers to acquire information concerning that 
     individual; and
       (C) a department or agency of the Federal Government is 
     conducting the query or search or other analysis to find a 
     pattern indicating terrorist or other criminal activity.
       (2) Database.--The term ``database'' does not include 
     telephone directories, information publicly available via the 
     Internet or available by any other means to any member of the 
     public without payment of a fee, or databases of judicial and 
     administrative opinions.
       (c) Reports on Data-Mining Activities.--
       (1) Requirement for report.--The head of each department or 
     agency of the Federal Government that is engaged in any 
     activity to use or develop data-mining technology shall each 
     submit a public report to Congress on all such activities of 
     the department or agency under the jurisdiction of that 
     official.
       (2) Content of report.--A report submitted under paragraph 
     (1) shall include, for each activity to use or develop data-
     mining technology that is required to be covered by the 
     report, the following information:
       (A) A thorough description of the data-mining technology 
     and the data that will be used.
       (B) A thorough discussion of the plans for the use of such 
     technology and the target dates for the deployment of the 
     data-mining technology.
       (C) An assessment of the likely efficacy of the data-mining 
     technology in providing accurate and valuable information 
     consistent with the stated plans for the use of the 
     technology.
       (D) An assessment of the likely impact of the 
     implementation of the data-mining technology on privacy and 
     civil liberties.
       (E) A list and analysis of the laws and regulations that 
     govern the information to be collected, reviewed, gathered, 
     and analyzed with the data-mining technology and a 
     description of any modifications of such laws that will be 
     required to use the information in the manner proposed under 
     such program.
       (F) A thorough discussion of the policies, procedures, and 
     guidelines that are to be developed and applied in the use of 
     such technology for data-mining in order to--
       (i) protect the privacy and due process rights of 
     individuals; and
       (ii) ensure that only accurate information is collected and 
     used.
       (G) A thorough discussion of the procedures allowing 
     individuals whose personal information will be used in the 
     data-mining technology to be informed of the use of their 
     personal information and what procedures are in place to 
     allow for individuals to opt out of the technology. If no 
     such procedures are in place, a thorough explanation as to 
     why not.
       (H) Any necessary classified information in an annex that 
     shall be available to the Committee on Governmental Affairs, 
     the Committee on the Judiciary, and the Committee on 
     Appropriations of the Senate and the Committee on Homeland 
     Security, the Committee on the Judiciary, and the Committee 
     on Appropriations of the House of Representatives.
       (3) Time for report.--Each report required under paragraph 
     (1) shall be--
       (A) submitted not later than 90 days after the date of the 
     enactment of this Act; and
       (B) updated once a year and include any new data-mining 
     technologies.
                                 ______
                                 
  SA 2066. Mr. FEINGOLD proposed an amendment to the bill S. 1753, to

[[Page 26971]]

amend the Fair Credit Reporting Act in order to prevent identity theft, 
to improve the use of and consumer access to consumer reports, to 
enhance the accuracy of consumer reports, to limit the sharing of 
certain consumer information, to improve financial education and 
literacy, and for other purposes; as follows:

       At the end of title VII, add the following:

     SEC. 712. BUY AMERICAN REPORT.

       (a) In General.--Not later than 60 days after the end of 
     each fiscal year, the head of each Federal agency shall 
     submit a report to Congress on the amount of the acquisitions 
     made by the agency from entities that manufacture the 
     articles, materials, or supplies outside of the United States 
     in that fiscal year.
       (b) Content of Report.--The report required by subsection 
     (a) shall separately indicate--
       (1) the dollar value of any articles, materials, or 
     supplies purchased that were manufactured outside of the 
     United States;
       (2) an itemized list of all waivers granted with respect to 
     such articles, materials, or supplies under the Buy American 
     Act (41 U.S.C. 10a et seq.); and
       (3) a summary of the total procurement funds spent on goods 
     manufactured in the United States versus funds spent on goods 
     manufactured outside of the United States.
       (c) Public Availability.--The head of each Federal agency 
     submitting a report under subsection (a) shall make the 
     report publicly available by posting on an Internet website.
                                 ______
                                 
  SA 2067. Mr. SHELBY (for Mr. Nelson of Florida) proposed an amendment 
to the bill S. 1753, to amend the Fair Credit Reporting Act in order to 
prevent identity theft, to improve the use of and consumer access to 
consumer reports, to enhance the accuracy of consumer reports, to limit 
the sharing of certain consumer information, to improve financial 
education and literacy, and for other purposes; as follows:

       At the end of title II, add the following:

     SEC. 216. DISPOSAL OF CONSUMER REPORT INFORMATION AND 
                   RECORDS.

       (a) In General.--The Fair Credit Reporting Act (15 U.S.C. 
     1681m) is amended by adding at the end the following:

     ``Sec. 627. Disposal of records

       ``(a) Regulations.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of this section, the Federal Trade Commission shall 
     issue final regulations requiring any person that maintains 
     or otherwise possesses consumer information or any 
     compilation of consumer information derived from consumer 
     reports for a business purpose to properly dispose of any 
     such information or compilation.
       ``(2) Exemption authority.--In issuing regulations under 
     this section, the Federal Trade Commission may exempt any 
     person or class of persons from application of those 
     regulations, as the Commission deems appropriate to carry out 
     the purpose of this section.
       ``(b) Rule of Construction.--Nothing in this section may be 
     construed to alter or affect any requirement imposed under 
     any other provision of law to maintain any record.''.
       (b) Clerical Amendment.--The table of sections for the Fair 
     Credit Reporting Act (15 U.S.C. 1681 et seq.), as amended by 
     this Act, is amended by adding at the end the following:

``627. Disposal of records.''.
                                 ______
                                 
  SA 2068. Mr. CRAPO (for himself and Mr. Smith) submitted an amendment 
intended to be proposed by him to the bill H.R. 2673, making 
appropriations for Agriculture, Rural Development, Food and Drug 
Administration, and Related Agencies for the fiscal year ending 
September 30, 2004, and for other purposes; which was ordered to lie on 
the table; as follows:

       On page 79, strike line 7 and insert the following:
       the provisions of this title.''.

                DIVISION B--HEALTHY FORESTS RESTORATION

     SEC. 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This division may be cited as the 
     ``Healthy Forests Restoration Act of 2003''.
       (b) Table of Contents.--The table of contents of this 
     division is as follows:

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

           TITLE I--HAZARDOUS FUEL REDUCTION ON FEDERAL LAND

Sec. 101. Definitions.
Sec. 102. Authorized hazardous fuel reduction projects.
Sec. 103. Prioritization.
Sec. 104. Environmental analysis.
Sec. 105. Special administrative review process.
Sec. 106. Judicial review in United States district courts.
Sec. 107. Effect of title.
Sec. 108. Authorization of appropriations.

                           TITLE II--BIOMASS

Sec. 201. Findings.
Sec. 202. Definitions.
Sec. 203. Grants to improve commercial value of forest biomass for 
              electric energy, useful heat, transportation fuels, 
              compost, value-added products, and petroleum-based 
              product substitutes.
Sec. 204. Reporting requirement.
Sec. 205. Improved biomass use research program.
Sec. 206. Rural revitalization through forestry.

                TITLE III--WATERSHED FORESTRY ASSISTANCE

Sec. 301. Findings and purposes.
Sec. 302. Watershed forestry assistance program.
Sec. 303. Tribal watershed forestry assistance.

           TITLE IV--INSECT INFESTATIONS AND RELATED DISEASES

Sec. 401. Findings and purpose.
Sec. 402. Definitions.
Sec. 403. Accelerated information gathering regarding forest-damaging 
              insects.
Sec. 404. Applied silvicultural assessments.
Sec. 405. Relation to other laws.
Sec. 406. Authorization of appropriations.

                TITLE V--HEALTHY FORESTS RESERVE PROGRAM

Sec. 501. Establishment of healthy forests reserve program.
Sec. 502. Eligibility and enrollment of lands in program.
Sec. 503. Restoration plans.
Sec. 504. Financial assistance.
Sec. 505. Technical assistance.
Sec. 506. Protections and measures
Sec. 507. Involvement by other agencies and organizations.
Sec. 508. Authorization of appropriations.

                      TITLE VI--PUBLIC LAND CORPS

Sec. 601. Purposes.
Sec. 602. Definitions.
Sec. 603. Public Land Corps.
Sec. 604. Nondisplacement.
Sec. 605. Authorization of appropriations.

         TITLE VII--RURAL COMMUNITY FORESTRY ENTERPRISE PROGRAM

Sec. 701. Purpose
Sec. 702. Definitions.
Sec. 703. Rural community forestry enterprise program.

            TITLE VIII--FIREFIGHTERS MEDICAL MONITORING ACT

Sec. 801. Short Title.
Sec. 802. Monitoring of firefighters in disaster areas.

             TITLE IX--DISASTER AIR QUALITY MONITORING ACT

Sec. 901. Short Title.
Sec. 902. Monitoring of air quality in disaster areas.

                 TITLE X--HIGHLANDS REGION CONSERVATION

Sec. 1001. Short title.
Sec. 1002. Findings.
Sec. 1003. Purposes.
Sec. 1004. Definitions.
Sec. 1005. Land conservation partnership projects in the Highlands 
              region.
Sec. 1006. Forest Service and USDA programs in the Highlands region.
Sec. 1007. Private property protection and lack of regulatory effect.

                   TITLE XI--MISCELLANEOUS PROVISIONS

Sec. 1101. Forest inventory and management.
Sec. 1102. Program for emergency treatment and reduction of nonnative 
              invasive plants.
Sec. 1103. USDA National Agroforestry Center.
Sec. 1104. Upland Hardwoods Research Center.
Sec. 1105. Emergency fuel reduction grants.
Sec. 1106. Eastern Nevada landscape coalition.
Sec. 1107. Sense of Congress regarding enhanced community fire 
              protection.
Sec. 1108. Collaborative monitoring.
Sec. 1109. Best-value contracting.
Sec. 1110. Suburban and community forestry and open space program; 
              Forest Legacy Program.
Sec. 1111. Wildland firefighter safety.
Sec. 1112. Green Mountain National Forest boundary adjustment.
Sec. 1113. Puerto Rico karst conservation.
Sec. 1114. Farm Security and Rural Development Act.
Sec. 1115. Enforcement of animal fighting prohibitions under the Animal 
              Welfare Act.
Sec. 1116. Increase in maximum fines for violation of public land 
              regulations and establishment of minimum fine for 
              violation of public land fire regulations during fire 
              ban.

     SEC. 2. PURPOSES.

       The purposes of this division are--
       (1) to reduce wildfire risk to communities, municipal water 
     supplies, and other at-risk

[[Page 26972]]

     Federal land through a collaborative process of planning, 
     prioritizing, and implementing hazardous fuel reduction 
     projects;
       (2) to authorize grant programs to improve the commercial 
     value of forest biomass (that otherwise contributes to the 
     risk of catastrophic fire or insect or disease infestation) 
     for producing electric energy, useful heat, transportation 
     fuel, and petroleum-based product substitutes, and for other 
     commercial purposes;
       (3) to enhance efforts to protect watersheds and address 
     threats to forest and rangeland health, including 
     catastrophic wildfire, across the landscape;
       (4) to promote systematic gathering of information to 
     address the impact of insect and disease infestations and 
     other damaging agents on forest and rangeland health;
       (5) to improve the capacity to detect insect and disease 
     infestations at an early stage, particularly with respect to 
     hardwood forests; and
       (6) to protect, restore, and enhance forest ecosystem 
     components--
       (A) to promote the recovery of threatened and endangered 
     species;
       (B) to improve biological diversity; and
       (C) to enhance productivity and carbon sequestration.

     SEC. 3. DEFINITIONS.

       In this division:
       (1) Federal land.--The term ``Federal land'' means--
       (A) land of the National Forest System (as defined in 
     section 11(a) of the Forest and Rangeland Renewable Resources 
     Planning Act of 1974 (16 U.S.C 1609(a))) administered by the 
     Secretary of Agriculture, acting through the Chief of the 
     Forest Service; and
       (B) public lands (as defined in section 103 of the Federal 
     Land Policy and Management Act of 1976 (43 U.S.C 1702)), the 
     surface of which is administered by the Secretary of the 
     Interior, acting through the Director of the Bureau of Land 
     Management.
       (2) Indian tribe.--The term ``Indian tribe'' has the 
     meaning given the term in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).

           TITLE I--HAZARDOUS FUEL REDUCTION ON FEDERAL LAND

     SEC. 101. DEFINITIONS.

       In this title:
       (1) At-risk community.--The term ``at-risk community'' 
     means an area--
       (A) that is comprised of--
       (i) an interface community as defined in the notice 
     entitled ``Wildland Urban Interface Communities Within the 
     Vicinity of Federal Lands That Are at High Risk From 
     Wildfire'' issued by the Secretary of Agriculture and the 
     Secretary of the Interior in accordance with title IV of the 
     Department of the Interior and Related Agencies 
     Appropriations Act, 2001 (114 Stat. 1009) (66 Fed. Reg. 753, 
     January 4, 2001); or
       (ii) a group of homes and other structures with basic 
     infrastructure and services (such as utilities and 
     collectively maintained transportation routes) within or 
     adjacent to Federal land;
       (B) in which conditions are conducive to a large-scale 
     wildland fire disturbance event; and
       (C) for which a significant threat to human life or 
     property exists as a result of a wildland fire disturbance 
     event.
       (2) Authorized hazardous fuel reduction project.--The term 
     ``authorized hazardous fuel reduction project'' means the 
     measures and methods described in the definition of 
     ``appropriate tools'' contained in the glossary of the 
     Implementation Plan, on Federal land described in section 
     102(a) and conducted under sections 103 and 104.
       (3) Community wildfire protection plan.--The term 
     ``community wildfire protection plan'' means a plan for an 
     at-risk community that--
       (A) is developed within the context of the collaborative 
     agreements and the guidance established by the Wildland Fire 
     Leadership Council and agreed to by the applicable local 
     government, local fire department, and State agency 
     responsibile for forest management, in consultation with 
     interested parties and the Federal land management agencies 
     managing land in the vicinity of the at-risk community;
       (B) identifies and prioritizes areas for hazardous fuel 
     reduction treatments and recommends the types and methods of 
     treatment on Federal and non-Federal land that will protect 1 
     or more at-risk communities and essential infrastructure; and
       (C) recommends measures to reduce structural ignitability 
     throughout the at-risk community.
       (4) Condition class 2.--The term ``condition class 2'', 
     with respect to an area of Federal land, means the condition 
     class description developed by the Forest Service Rocky 
     Mountain Research Station in the general technical report 
     entitled ``Development of Coarse-Scale Spatial Data for 
     Wildland Fire and Fuel Management'' (RMRS-87), dated April 
     2000 (including any subsequent revision to the report), under 
     which--
       (A) fire regimes on the land have been moderately altered 
     from historical ranges;
       (B) there exists a moderate risk of losing key ecosystem 
     components from fire;
       (C) fire frequencies have increased or decreased from 
     historical frequencies by 1 or more return intervals, 
     resulting in moderate changes to--
       (i) the size, frequency, intensity, or severity of fires; 
     or
       (ii) landscape patterns; and
       (D) vegetation attributes have been moderately altered from 
     the historical range of the attributes.
       (5) Condition class 3.--The term ``condition class 3'', 
     with respect to an area of Federal land, means the condition 
     class description developed by the Rocky Mountain Research 
     Station in the general technical report referred to in 
     paragraph (4) (including any subsequent revision to the 
     report), under which--
       (A) fire regimes on land have been significantly altered 
     from historical ranges;
       (B) there exists a high risk of losing key ecosystem 
     components from fire;
       (C) fire frequencies have departed from historical 
     frequencies by multiple return intervals, resulting in 
     dramatic changes to--
       (i) the size, frequency, intensity, or severity of fires; 
     or
       (ii) landscape patterns; and
       (D) vegetation attributes have been significantly altered 
     from the historical range of the attributes.
       (6) Day.--The term ``day'' means--
       (A) a calendar day; or
       (B) if a deadline imposed by this title would expire on a 
     nonbusiness day, the end of the next business day.
       (7) Decision document.--The term ``decision document'' 
     means--
       (A) a decision notice (as that term is used in the Forest 
     Service Handbook);
       (B) a decision record (as that term is used in the Bureau 
     of Land Management Handbook); and
       (C) a record of decision (as that term is used in 
     applicable regulations of the Council on Environmental 
     Quality).
       (8) Fire regime i.--The term ``fire regime I'' means an 
     area--
       (A) in which historically there have been low-severity 
     fires with a frequency of 0 through 35 years; and
       (B) that is located primarily in low elevation forests of 
     pine, oak, or pinyon juniper.
       (9) Fire regime ii.--The term ``fire regime II'' means an 
     area--
       (A) in which historically there are stand replacement 
     severity fires with a frequency of 0 through 35 years; and
       (B) that is located primarily in low- to mid-elevation 
     rangeland, grassland, or shrubland.
       (10) Fire regime iii.--The term ``fire regime III'' means 
     an area--
       (A) in which historically there are mixed severity fires 
     with a frequency of 35 through 100 years; and
       (B) that is located primarily in forests of mixed conifer, 
     dry Douglas fir, or wet Ponderosa pine.
       (11) Implementation plan.--The term ``Implementation Plan'' 
     means the Implementation Plan for the Comprehensive Strategy 
     for a Collaborative Approach for Reducing Wildland Fire Risks 
     to Communities and the Environment, dated May 2002, developed 
     pursuant to the conference report to accompany the Department 
     of the Interior and Related Agencies Appropriations Act, 2001 
     (House Report 106-64) (and subsequent revisions).
       (12) Municipal water supply system.--The term ``municipal 
     water supply system'' means the reservoirs, canals, ditches, 
     flumes, laterals, pipes, pipelines, and other surface 
     facilities and systems constructed or installed for the 
     collection, impoundment, storage, transportation, or 
     distribution of drinking water.
       (13) Resource management plan.--The term ``resource 
     management plan'' means--
       (A) a land and resource management plan prepared for 1 or 
     more units of land of the National Forest System described in 
     section 3(1)(A) under section 6 of the Forest and Rangeland 
     Renewable Resources Planning Act of 1974 (16 U.S.C. 1604); or
       (B) a land use plan prepared for 1 or more units of the 
     public land described in section 3(1)(B) under section 202 of 
     the Federal Land Policy and Management Act of 1976 (43 U.S.C. 
     1712).
       (14) Secretary.--The term ``Secretary'' means--
       (A) the Secretary of Agriculture, with respect to land of 
     the National Forest System described in section 3(1)(A); and
       (B) the Secretary of the Interior, with respect to public 
     lands described in section 3(1)(B).
       (15) Threatened and endangered species habitat.--The term 
     ``threatened and endangered species habitat'' means Federal 
     land identified in--
       (A) a determination that a species is an endangered species 
     or a threatened species under the Endangered Species Act of 
     1973 (16 U.S.C. 1531 et seq.);
       (B) a designation of critical habitat of the species under 
     that Act; or
       (C) a recovery plan prepared for the species under that 
     Act.
       (16) Wildland-urban interface.--The term ``wildland-urban 
     interface'' means--
       (A) an area within or adjacent to an at-risk community that 
     is identified in recommendations to the Secretary in a 
     community wildfire protection plan; or
       (B) in the case of any area for which a community wildfire 
     protection plan is not in effect--

[[Page 26973]]

       (i) an area extending \1/2\-mile from the boundary of an 
     at-risk community;
       (ii) an area extending more than \1/2\-mile from the 
     boundary of an at-risk community, if the land adjacent to the 
     at-risk community--

       (I) has a sustained steep slope that creates the potential 
     for wildfire behavior endangering the at-risk community; or
       (II) has a geographic feature that aids in creating an 
     effective fire break, such as a road or ridge top, within \3/
     4\-mile of the nearest at-risk community boundary; and

       (iii) an area that is adjacent to an evacuation route for 
     an at-risk community that the Secretary determines, in 
     cooperation with the at-risk community, requires hazardous 
     fuel reduction to provide safer evacuation from the at-risk 
     community.

     SEC. 102. AUTHORIZED HAZARDOUS FUEL REDUCTION PROJECTS.

       (a) Authorized Projects.--As soon as practicable after the 
     date of enactment of this Act, the Secretary shall implement 
     authorized hazardous fuel reduction projects, consistent with 
     the Implementation Plan, on--
       (1) Federal land in wildland-urban interface areas;
       (2) condition class 3 Federal land, in such proximity to a 
     municipal water supply system or a stream feeding such a 
     system within a municipal watershed that a significant risk 
     exists that a fire disturbance event would have adverse 
     effects on the water quality of the municipal water supply or 
     the maintenance of the system, including a risk to water 
     quality posed by erosion following such a fire disturbance 
     event;
       (3) condition class 2 Federal land located within fire 
     regime I, fire regime II, or fire regime III, in such 
     proximity to a municipal water supply system or a stream 
     feeding such a system within a municipal watershed that a 
     significant risk exists that a fire disturbance event would 
     have adverse effects on the water quality of the municipal 
     water supply or the maintenance of the system, including a 
     risk to water quality posed by erosion following such a fire 
     disturbance event;
       (4) Federal land on which windthrow or blowdown, ice storm 
     damage, or the existence of disease or insect infestation, 
     poses a significant threat to an ecosystem component, or 
     forest or rangeland resource, on the Federal land or adjacent 
     non-Federal land;
       (5) Federal land not covered by paragraphs (1) through (4) 
     that contains threatened and endangered species habitat, if--
       (A) natural fire regimes on that land are identified as 
     being important for, or wildfire is identified as a threat 
     to, an endangered species, a threatened species, or habitat 
     of an endangered species or threatened species in a species 
     recovery plan prepared under section 4 of the Endangered 
     Species Act of 1973 (16 U.S.C. 1533), or a notice published 
     in the Federal Register determining a species to be an 
     endangered species or a threatened species or designating 
     critical habitat;
       (B) the authorized hazardous fuel reduction project will 
     provide enhanced protection from catastrophic wildfire for 
     the endangered species, threatened species, or habitat of the 
     endangered species or threatened species; and
       (C) the Secretary complies with any applicable guidelines 
     specified in any management or recovery plan described in 
     subparagraph (A).
       (b) Relation to Agency Plans.--An authorized hazardous fuel 
     reduction project shall be conducted consistent with the 
     resource management plan and other relevant administrative 
     policies or decisions applicable to the Federal land covered 
     by the project.
       (c) Acreage Limitation.--Not more than a total of 
     20,000,000 acres of Federal land may be treated under 
     authorized hazardous fuel reduction projects.
       (d) Exclusion of Certain Federal Land.--The Secretary may 
     not conduct an authorized hazardous fuel reduction project 
     that would occur on--
       (1) a component of the National Wilderness Preservation 
     System;
       (2) Federal land on which the removal of vegetation is 
     prohibited or restricted by Act of Congress or Presidential 
     proclamation (including the applicable implementation plan); 
     or
       (3) a Wilderness Study Area.
       (e) Old Growth Stands.--
       (1) Definitions.--In this subsection and subsection (f):
       (A) Covered project.--The term ``covered project'' means an 
     authorized hazardous fuel reduction project carried out under 
     paragraph (1), (2), (3), or (5) of subsection (a).
       (B) Old growth stand.--The term ``old growth stand'' has 
     the meaning given the term under standards used pursuant to 
     paragraphs (3) and (4), based on the structure and 
     composition characteristic of the forest type, and in 
     accordance with applicable law, including section 6(g)(3)(B) 
     of the Forest and Rangeland Renewable Resources Planning Act 
     of 1974 (16 U.S.C. 1604(g)(3)(B)).
       (C) Standards.--The term ``standards'' means definitions, 
     designations, standards, guidelines, goals, or objectives 
     established for an old growth stand under a resource 
     management plan developed in accordance with applicable law, 
     including section 6(g)(3)(B) of the Forest and Rangeland 
     Renewable Resources Planning Act of 1974 (16 U.S.C. 
     1604(g)(3)(B)).
       (2) Project requirements.--In carrying out a covered 
     project, the Secretary shall fully maintain, or contribute 
     toward the restoration of, the structure and composition of 
     old growth stands according to the pre-fire suppression old 
     growth conditions characteristic of the forest type, taking 
     into account the contribution of the stand to landscape fire 
     adaptation and watershed health, and retaining the large 
     trees contributing to old growth structure.
       (3) Newer standards.--
       (A) In general.--If the standards for an old growth stand 
     were established during the 10-year period ending on the date 
     of enactment of this Act, the Secretary shall meet the 
     requirements of paragraph (2) in carrying out a covered 
     project by implementing the standards.
       (B) Amendments or revisions.--Any amendment or revision to 
     standards for which final administrative approval is granted 
     after the date of enactment of this Act shall be consistent 
     with paragraph (2) for the purpose of carrying out covered 
     projects.
       (4) Older standards.--
       (A) In general.--If the standards for an old growth stand 
     were established before the 10-year period described in 
     paragraph (3)(A), the Secretary shall meet the requirements 
     of paragraph (2) in carrying out a covered project by 
     implementing the standards--
       (i) during the 2-year period beginning on the date of 
     enactment of this Act; or
       (ii) if the Secretary is in the process of revising a 
     resource management plan as of the date of enactment of this 
     Act, during the 3-year period beginning on the date of 
     enactment of this Act.
       (B) Review required.--During the applicable period 
     described in subparagraph (A) for the standards for an old 
     growth stand under a resource management plan, the Secretary 
     shall--
       (i) review the standards, taking into account any relevant 
     scientific information made available since the adoption of 
     the standards; and
       (ii) revise the standards to be consistent with paragraph 
     (2), if necessary to reflect relevant scientific information 
     the Secretary did not consider in formulating the resource 
     management plan.
       (C) Review not completed.--
       (i) In general.--If the Secretary does not complete the 
     review of the standards in accordance with subparagraph (B), 
     during the applicable period described in subparagraph (A), 
     the Secretary shall not carry out any portion of a covered 
     project in a stand that is identified as an old growth stand 
     (based on substantial supporting evidence) by any person 
     during scoping.
       (ii) Period.--Clause (i) applies during the period--

       (I) beginning on the termination of the applicable period 
     for the standards described in subparagraph (A); and
       (II) ending on the earlier of--

       (aa) the date the Secretary completes the action required 
     by subparagraph (B) for the standards; or
       (bb) the date on which the acreage limitation specified in 
     subsection (c) (as that limitation may be adjusted by 
     subsequent Act of Congress) is reached.
       (f) Large Tree Retention.--Except in old growth stands 
     where the standards are consistent with subsection (e)(2), 
     the Secretary shall carry out a covered project in a manner 
     that--
       (1) focuses largely on small diameter trees, thinning, 
     strategic fuel breaks, and prescribed fire to modify fire 
     behavior, as measured by the projected reduction of 
     uncharacteristically severe wildfire effects for the forest 
     type (such as adverse soil impacts, tree mortality or other 
     impacts); and
       (2) maximizes the retention of large trees, as appropriate 
     for the forest type, to the extent that the trees promote 
     fire-resilient stands and the purposes of section 6(g)(3)(B) 
     of the Forest and Rangeland Renewable Resources Planning Act 
     of 1976 (16 U.S.C. 1604(g)(3)(B)).
       (g) Monitoring and Assessing Forest and Rangeland Health.--
       (1) In general.--For each Forest Service administrative 
     region and each Bureau of Land Management State Office, the 
     Secretary shall--
       (A) monitor the results of the projects authorized under 
     this section; and
       (B) not later than 5 years after the date of enactment of 
     this Act, and each 5 years thereafter, issue a report that 
     includes--
       (i) an evaluation of the progress towards project goals; 
     and
       (ii) recommendations for modifications to the projects and 
     management treatments.
       (2) Consistency of projects with recommendations.--An 
     authorized hazardous fuel reduction project approved 
     following the issuance of a monitoring report shall, to the 
     maximum extent practicable, be consistent with any applicable 
     recommendations in the report.
       (3) Similar vegetation types.--The results of a monitoring 
     report shall be made available in, and (if appropriate) used 
     for, a project conducted in a similar vegetation type on land 
     under the jurisdiction of the Secretary.

[[Page 26974]]

       (4) Monitoring and assessments.--From a representative 
     sample of authorized hazardous fuel reduction projects, for 
     each management unit, monitoring and assessment shall include 
     a description of the effects on changes in condition class, 
     using the Fire Regime Condition Class Guidebook or successor 
     guidance, specifically comparing end results to--
       (A) pretreatment conditions;
       (B) historical fire regimes; and
       (C) any applicable watershed or landscape goals or 
     objectives in the resource management plan or other relevant 
     direction.
       (5) Tracking.--For each management unit, the Secretary 
     shall track acres burned, by the degree of severity, by large 
     wildfires (as defined by the Secretary).
       (6) Monitoring and maintenance of treated areas.--The 
     Secretary shall, to the maximum extent practicable, develop a 
     process for monitoring the need for maintenance of treated 
     areas, over time, in order to preserve the forest health 
     benefits achieved.

     SEC. 103. PRIORITIZATION.

       (a) In General.--In accordance with the Implementation 
     Plan, the Secretary shall develop an annual program of work 
     for Federal land that gives priority to authorized hazardous 
     fuel reduction projects that provide for the protection of 
     at-risk communities or watersheds or that implement community 
     wildfire protection plans.
       (b) Collaboration.--
       (1) In general.--The Secretary shall consider 
     recommendations under subsection (a) that are made by at-risk 
     communities that have developed community wildfire protection 
     plans.
       (2) Exemption.--The Federal Advisory Committee Act (5 
     U.S.C. App.) shall not apply to the planning process and 
     recommendations concerning community wildfire protection 
     plans.
       (c) Administration.--
       (1) In general.--Federal agency involvement in a community 
     wildfire protection plan, or a recommendation made in a 
     community wildfire protection plan, shall not be considered a 
     Federal agency action under the National Environmental Policy 
     Act of 1969 (42 U.S.C. 4321 et seq.).
       (2) Compliance.--In implementing authorized hazardous fuel 
     reduction projects on Federal land, the Secretary shall, in 
     accordance with section 104, comply with the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
       (d) Funding Allocation.--
       (1) Federal land.--
       (A) In general.--Subject to subparagraph (B), the Secretary 
     shall use not less than 50 percent of the funds allocated for 
     authorized hazardous fuel reduction projects in the wildland-
     urban interface.
       (B) Applicability and allocation.--The funding allocation 
     in subparagraph (A) shall apply at the national level, and 
     the Secretary may allocate the proportion of funds 
     differently than is required under subparagraph (A) within 
     individual management units as appropriate, in particular to 
     conduct authorized hazardous fuel reduction projects on land 
     described in section 102(a)(4).
       (2) Non-federal land.--In providing financial assistance 
     under any provision of law for hazardous fuel reduction 
     projects on non-Federal land, the Secretary shall consider 
     recommendations made by at-risk communities that have 
     developed community wildfire protection plans.

     SEC. 104. ENVIRONMENTAL ANALYSIS.

       (a) Authorized Hazardous Fuel Reduction Projects.--Except 
     as otherwise provided in this title, the Secretary shall 
     conduct authorized hazardous fuel reduction projects in 
     accordance with--
       (1) the National Environmental Policy Act of 1969 (42 
     U.S.C. 4331 et seq.); and
       (2) other applicable laws.
       (b) Environmental Assessment or Impact Statements.--
       (1) In general.--The Secretary shall prepare an 
     environmental assessment or an environmental impact statement 
     (pursuant to section 102(2) of the National Environmental 
     Policy Act of 1969 (42 U.S.C. 4332(2))) for any authorized 
     hazardous fuel reduction project.
       (2) Alternatives.--In the environmental assessment or 
     environmental impact statement prepared under paragraph (1), 
     the Secretary shall study, develop, and describe--
       (A) the proposed agency action;
       (B) the alternative of no action; and
       (C) an additional action alternative, if the additional 
     alternative--
       (i) is proposed during scoping or the collaborative 
     process; and
       (ii) meets the purpose and need of the project, in 
     accordance with regulations promulgated by the Council on 
     Environmental Quality.
       (3) Multiple additional alternatives.--If more than 1 
     additional alternative is proposed under paragraph (2)(C), 
     the Secretary shall--
       (A) select which additional alternative to consider; and
       (B) provide a written record describing the reasons for the 
     selection.
       (c) Public Notice and Meeting.--
       (1) Public notice.--The Secretary shall provide notice of 
     each authorized hazardous fuel reduction project in 
     accordance with applicable regulations and administrative 
     guidelines.
       (2) Public meeting.--During the preparation stage of each 
     authorized hazardous fuel reduction project, the Secretary 
     shall--
       (A) conduct a public meeting at an appropriate location 
     proximate to the administrative unit of the Federal land on 
     which the authorized hazardous fuel reduction project will be 
     conducted; and
       (B) provide advance notice of the location, date, and time 
     of the meeting.
       (d) Public Collaboration.--In order to encourage meaningful 
     public participation during preparation of authorized 
     hazardous fuel reduction projects, the Secretary shall 
     facilitate collaboration among State and local governments 
     and Indian tribes, and participation of interested persons, 
     during the preparation of each authorized fuel reduction 
     project in a manner consistent with the Implementation Plan.
       (e) Environmental Analysis and Public Comment.--In 
     accordance with section 102(2) of the National Environmental 
     Policy Act of 1969 (42 U.S.C. 4332(2)) and the applicable 
     regulations and administrative guidelines, the Secretary 
     shall provide an opportunity for public comment during the 
     preparation of any environmental assessment or environmental 
     impact statement for an authorized hazardous fuel reduction 
     project.
       (f) Decision Document.--The Secretary shall sign a decision 
     document for authorized hazardous fuel reduction projects and 
     provide notice of the final agency actions.

     SEC. 105. SPECIAL ADMINISTRATIVE REVIEW PROCESS.

       (a) Interim Final Regulations.--
       (1) In general.--Not later than 30 days after the date of 
     the enactment of this Act, the Secretary of Agriculture shall 
     promulgate interim final regulations to establish a 
     predecisional administrative review process for the period 
     described in paragraph (2) that will serve as the sole means 
     by which a person can seek administrative review regarding an 
     authorized hazardous fuel reduction project on Forest Service 
     land.
       (2) Period.--The predecisional administrative review 
     process required under paragraph (1) shall occur during the 
     period--
       (A) beginning after the completion of the environmental 
     assessment or environmental impact statement; and
       (B) ending not later than the date of the issuance of the 
     final decision approving the project.
       (3) Effective date.--The interim final regulations 
     promulgated under paragraph (1) shall take effect on the date 
     of promulgation of the regulations.
       (b) Final Regulations.--The Secretary shall promulgate 
     final regulations to establish the process described in 
     subsection (a)(1) after the interim final regulations have 
     been published and reasonable time has been provided for 
     public comment.
       (c) Administrative Review.--
       (1) In general.--A person may bring a civil action 
     challenging an authorized hazardous fuel reduction project in 
     a Federal district court only if the person has challenged 
     the authorized hazardous fuel reduction project by 
     exhausting--
       (A) the administrative review process established by the 
     Secretary of Agriculture under this section; or
       (B) the administrative hearings and appeals procedures 
     established by the Department of the Interior.
       (2) Issues.--An issue may be considered in the judicial 
     review of an action under section 106 only if the issue was 
     raised in an administrative review process described in 
     paragraph (1).
       (3) Exception.--An exception to the requirement of 
     exhausting the administrative review process before seeking 
     judicial review shall be available if a Federal court finds 
     that the futility or inadequacy exception applies to a 
     specific plaintiff or claim.

     SEC. 106. JUDICIAL REVIEW IN UNITED STATES DISTRICT COURTS.

       (a) Venue.--Notwithstanding section 1391 of title 28, 
     United States Code, or other applicable law, an authorized 
     hazardous fuels reduction project conducted under this title 
     shall be subject to judicial review only in the United States 
     district court for the district in which the Federal land to 
     be treated under the authorized hazardous fuels reduction 
     project is located.
       (b) Expeditious Completion of Judicial Review.--In the 
     judicial review of an action challenging an authorized 
     hazardous fuel reduction project under subsection (a), 
     Congress encourages a court of competent jurisdiction to 
     expedite, to the maximum extent practicable, the proceedings 
     in the action with the goal of rendering a final 
     determination on jurisdiction, and (if jurisdiction exists) a 
     final determination on the merits, as soon as practicable 
     after the date on which a complaint or appeal is filed to 
     initiate the action.
       (c) Injunctions.--
       (1) In general.--Subject to paragraph (2), the length of 
     any preliminary injunctive relief and stays pending appeal 
     covering an authorized hazardous fuel reduction project 
     carried out under this title shall not exceed 60 days.
       (2) Renewal.--
       (A) In general.--A court of competent jurisdiction may 
     issue 1 or more renewals of any preliminary injunction, or 
     stay pending appeal, granted under paragraph (1).

[[Page 26975]]

       (B) Updates.--In each renewal of an injunction in an 
     action, the parties to the action shall present the court 
     with updated information on the status of the authorized 
     hazardous fuel reduction project.
       (3) Balancing of short- and long-term effects.--As part of 
     its weighing the equities while considering any request for 
     an injunction that applies to an agency action under an 
     authorized hazardous fuel reduction project, the court 
     reviewing the project shall balance the impact to the 
     ecosystem likely affected by the project of--
       (A) the short- and long-term effects of undertaking the 
     agency action; against
       (B) the short- and long-term effects of not undertaking the 
     agency action.

     SEC. 107. EFFECT OF TITLE.

       (a) Other Authority.--Nothing in this title affects, or 
     otherwise biases, the use by the Secretary of other statutory 
     or administrative authority (including categorical exclusions 
     adopted to implement the National Environmental Policy Act of 
     1969 (42 U.S.C. 4321 et seq.)) to conduct a hazardous fuel 
     reduction project on Federal land (including Federal land 
     identified in section 102(d)) that is not conducted using the 
     process authorized by section 104.
       (b) National Forest System.--For projects and activities of 
     the National Forest System other than authorized hazardous 
     fuel reduction projects, nothing in this title affects, or 
     otherwise biases, the notice, comment, and appeal procedures 
     for projects and activities of the National Forest System 
     contained in part 215 of title 36, Code of Federal 
     Regulations, or the consideration or disposition of any legal 
     action brought with respect to the procedures.

     SEC. 108. AUTHORIZATION OF APPROPRIATIONS.

       There is authorized to be appropriated $760,000,000 for 
     each fiscal year to carry out--
       (1) activities authorized by this title; and
       (2) other hazardous fuel reduction activities of the 
     Secretary, including making grants to States for activities 
     authorized by law.

                           TITLE II--BIOMASS

     SEC. 201. FINDINGS.

       Congress finds that--
       (1)(A) thousands of communities in the United States, many 
     located near Federal land, are at risk of wildfire;
       (B) more than 100,000,000 acres of land managed by the 
     Secretary of Agriculture and the Secretary of the Interior 
     are at risk of catastrophic fire in the near future; and
       (C) the accumulation of heavy forest and rangeland fuel 
     loads continues to increase as a result of fire exclusion, 
     disease, insect infestations, and drought, further raising 
     the risk of fire each year;
       (2)(A) more than 70,000,000 acres across all land 
     ownerships are at risk of higher than normal mortality during 
     the 15-year period beginning on the date of enactment of this 
     Act because of insect infestation and disease; and
       (B) high levels of tree mortality from insects and disease 
     result in--
       (i) increased fire risk;
       (ii) loss of older trees and old growth;
       (iii) degraded watershed conditions;
       (iv) changes in species diversity and productivity;
       (v) diminished fish and wildlife habitat;
       (vi) decreased timber values; and
       (vii) increased threats to homes, businesses, and community 
     watersheds;
       (3)(A) preventive treatments (such as reducing fuel loads, 
     crown density, ladder fuels, and hazard trees), planting 
     proper species mix, restoring and protecting early 
     successional habitat, and completing other specific 
     restoration treatments designed to reduce the susceptibility 
     of forest and rangeland to insect outbreaks, disease, and 
     catastrophic fire present the greatest opportunity for long-
     term forest and rangeland health, maintenance, and 
     enhancement by creating a mosaic of species-mix and age 
     distribution; and
       (B) those vegetation management treatments are widely 
     acknowledged to be more successful and cost-effective than 
     suppression treatments in the case of insects, disease, and 
     fire;
       (4)(A) the byproducts of vegetative management treatment 
     (such as trees, brush, thinnings, chips, slash, and other 
     hazardous fuels) removed from forest and rangeland represent 
     an abundant supply of--
       (i) biomass for biomass-to-energy facilities; and
       (ii) raw material for business; and
       (B) there are currently few markets for the extraordinary 
     volumes of by-products being generated as a result of the 
     necessary large-scale preventive treatment activities; and
       (5) the United States should--
       (A) promote economic and entrepreneurial opportunities in 
     using by-products removed through vegetation treatment 
     activities relating to hazardous fuels reduction, disease, 
     and insect infestation;
       (B) develop and expand markets for traditionally underused 
     wood and biomass as an outlet for by-products of preventive 
     treatment activities; and
       (C) promote research and development to provide, for the 
     by-products, economically and environmentally sound--
       (i) management systems;
       (ii) harvest and transport systems; and
       (iii) utilization options.

     SEC. 202. DEFINITIONS.

       In this title:
       (1) Biomass.--The term ``biomass'' means trees and woody 
     plants (including limbs, tops, needles, other woody parts, 
     and wood waste) and byproducts of preventive treatment (such 
     as wood, brush, thinnings, chips, and slash) that are 
     removed--
       (A) to reduce hazardous fuels;
       (B) to reduce the risk of or to contain disease or insect 
     infestation; or
       (C) to improve forest health and wildlife habitat 
     conditions.
       (2) Person.--The term ``person'' includes--
       (A) an individual;
       (B) a community (as determined by the Secretary);
       (C) an Indian tribe;
       (D) a small business, microbusiness, or a corporation that 
     is incorporated in the United States; and
       (E) a nonprofit organization.
       (3) Preferred community.--The term ``preferred community'' 
     means--
       (A) any town, township, municipality, Indian tribe, or 
     other similar unit of local government (as determined by the 
     Secretary) that--
       (i) has a population of not more than 50,000 individuals; 
     and
       (ii) the Secretary, in the sole discretion of the 
     Secretary, determines contains or is located near, or with a 
     water supply system that contains or is located near, land 
     that--

       (I) is at significant risk of catastrophic wildfire, 
     disease, or insect infestation; or
       (II) suffers from disease or insect infestation; or

       (B) any area or unincorporated area represented by a 
     nonprofit organization approved by the Secretary, that--
       (i) is not wholly contained within a metropolitan 
     statistical area; and
       (ii) the Secretary, in the sole discretion of the 
     Secretary, determines contains or is located near, or with a 
     water supply system that contains or is located near, land--

       (I) the condition of which is at significant risk of 
     catastrophic wildfire, disease, or insect infestation; or
       (II) that suffers from disease or insect infestation.

       (4) Secretary.--The term ``Secretary'' means--
       (A) the Secretary of Agriculture, with respect to National 
     Forest System land; and
       (B) the Secretary of the Interior, with respect to Federal 
     land under the jurisdiction of the Secretary of the Interior 
     (including land held in trust for the benefit of an Indian 
     tribe).

     SEC. 203. GRANTS TO IMPROVE COMMERCIAL VALUE OF FOREST 
                   BIOMASS FOR ELECTRIC ENERGY, USEFUL HEAT, 
                   TRANSPORTATION FUELS, COMPOST, VALUE-ADDED 
                   PRODUCTS, AND PETROLEUM-BASED PRODUCT 
                   SUBSTITUTES.

       (a) Biomass Commercial Utilization Grant Program.--
       (1) In general.--The Secretary may make grants to any 
     person that owns or operates a facility that uses biomass as 
     a raw material to produce electric energy, sensible heat, 
     transportation fuels, substitutes for petroleum-based 
     products, wood-based products, pulp, or other commercial 
     products to offset the costs incurred to purchase biomass for 
     use by the facility.
       (2) Grant amounts.--A grant under this subsection may not 
     exceed $20 per green ton of biomass delivered.
       (3) Monitoring of grant recipient activities.--
       (A) In general.--As a condition of a grant under this 
     subsection, the grant recipient shall keep such records as 
     the Secretary may require to fully and correctly disclose the 
     use of the grant funds and all transactions involved in the 
     purchase of biomass.
       (B) Access.--On notice by a representative of the 
     Secretary, the grant recipient shall afford the 
     representative--
       (i) reasonable access to the facility that purchases or 
     uses biomass; and
       (ii) an opportunity to examine the inventory and records of 
     the facility.
       (b) Value-Added Grant Program.--
       (1) In general.--The Secretary--
       (A) may make grants to persons to offset the cost of 
     projects to add value to biomass; and
       (B) in making a grant under subparagraph (A), shall give 
     preference to persons in preferred communities.
       (2) Selection.--The Secretary shall select a grant 
     recipient under paragraph (1)(A) after giving consideration 
     to--
       (A) the anticipated public benefits of the project;
       (B) opportunities for the creation or expansion of small 
     businesses and microbusinesses resulting from the project; 
     and
       (C) the potential for new job creation as a result of the 
     project.
       (3) Grant amount.--A grant under this subsection shall not 
     exceed $100,000.
       (c) Relation to Other Endangered Species and Riparian 
     Protections.--
       (1) In general.--The Secretary shall comply with applicable 
     endangered species and riparian protections in making grants 
     under this section.
       (2) Projects.--Projects funded using grant proceeds shall 
     be required to comply with the protections.

[[Page 26976]]

       (d) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $25,000,000 for 
     each of fiscal years 2004 through 2008.

     SEC. 204. REPORTING REQUIREMENT.

       (a) Report Required.--Not later than October 1, 2008, the 
     Secretary of Agriculture, in consultation with the Secretary 
     of the Interior, shall submit to the Committee on Resources 
     and the Committee on Agriculture of the House of 
     Representatives and the Committee on Energy and Natural 
     Resources and the Committee on Agriculture, Nutrition, and 
     Forestry of the Senate a report describing the results of the 
     grant programs authorized by section 203.
       (b) Contents of Report.--The report shall include--
       (1) an identification of the source, size, type, and the 
     end-use of biomass by persons that receive grants under 
     section 203;
       (2) the haul costs incurred and the distance between the 
     land from which the biomass was removed and the facilities 
     that used the biomass;
       (3) the economic impacts, particularly new job creation, 
     resulting from the grants to and operation of the eligible 
     operations; and
       (4) the environmental effects of the activities described 
     in this section.

     SEC. 205. IMPROVED BIOMASS USE RESEARCH PROGRAM.

       (a) Uses of Grants, Contracts, and Assistance.--Section 
     307(d) of the Biomass Research and Development Act of 2000 (7 
     U.S.C. 7624 note; Public Law 106-224) is amended--
       (1) in paragraph (3), by striking ``or'' at the end;
       (2) in paragraph (4), by striking the period at the end and 
     inserting ``; or''; and
       (3) by adding at the end the following:
       ``(5) research to integrate silviculture, harvesting, 
     product development, processing information, and economic 
     evaluation to provide the science, technology, and tools to 
     forest managers and community developers for use in 
     evaluating forest treatment and production alternatives, 
     including--
       ``(A) to develop tools that would enable land managers, 
     locally or in a several-State region, to estimate--
       ``(i) the cost to deliver varying quantities of wood to a 
     particular location; and
       ``(ii) the amount that could be paid for stumpage if 
     delivered wood was used for a specific mix of products;
       ``(B) to conduct research focused on developing appropriate 
     thinning systems and equipment designs that are--
       ``(i) capable of being used on land without significant 
     adverse effects on the land;
       ``(ii) capable of handling large and varied landscapes;
       ``(iii) adaptable to handling a wide variety of tree sizes;
       ``(iv) inexpensive; and
       ``(v) adaptable to various terrains; and
       ``(C) to develop, test, and employ in the training of 
     forestry managers and community developers curricula 
     materials and training programs on matters described in 
     subparagraphs (A) and (B).''.
       (b) Funding.--Section 310(b) of the Biomass Research and 
     Development Act of 2000 (7 U.S.C. 7624 note; Public Law 106-
     224) is amended by striking ``$49,000,000'' and inserting 
     ``$54,000,000''.

     SEC. 206. RURAL REVITALIZATION THROUGH FORESTRY.

       Section 2371 of the Food, Agriculture, Conservation, and 
     Trade Act of 1990 (7 U.S.C. 6601) is amended by adding at the 
     end the following:
       ``(d) Rural Revitalization Technologies.--
       ``(1) In general.--The Secretary of Agriculture, acting 
     through the Chief of the Forest Service, in consultation with 
     the State and Private Forestry Technology Marketing Unit at 
     the Forest Products Laboratory, and in collaboration with 
     eligible institutions, may carry out a program--
       ``(A) to accelerate adoption of technologies using biomass 
     and small-diameter materials;
       ``(B) to create community-based enterprises through 
     marketing activities and demonstration projects; and
       ``(C) to establish small-scale business enterprises to make 
     use of biomass and small-diameter materials.
       ``(2) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $5,000,000 
     for each of fiscal years 2004 through 2008.''.

                TITLE III--WATERSHED FORESTRY ASSISTANCE

     SEC. 301. FINDINGS AND PURPOSES.

       (a) Findings.--Congress finds that--
       (1) there has been a dramatic shift in public attitudes and 
     perceptions about forest management, particularly in the 
     understanding and practice of sustainable forest management;
       (2) it is commonly recognized that the proper stewardship 
     of forest land is essential to sustaining and restoring the 
     health of watersheds;
       (3) forests can provide essential ecological services in 
     filtering pollutants, buffering important rivers and 
     estuaries, and minimizing flooding, which makes forest 
     restoration worthy of special focus; and
       (4) strengthened education, technical assistance, and 
     financial assistance for nonindustrial private forest 
     landowners and communities, relating to the protection of 
     watershed health, is needed to realize the expectations of 
     the general public.
       (b) Purposes.--The purposes of this title are--
       (1) to improve landowner and public understanding of the 
     connection between forest management and watershed health;
       (2) to encourage landowners to maintain tree cover on 
     property and to use tree plantings and vegetative treatments 
     as creative solutions to watershed problems associated with 
     varying land uses;
       (3) to enhance and complement forest management and buffer 
     use for watersheds, with an emphasis on community watersheds;
       (4) to establish new partnerships and collaborative 
     watershed approaches to forest management, stewardship, and 
     conservation;
       (5) to provide technical and financial assistance to States 
     to deliver a coordinated program that enhances State forestry 
     best-management practices programs, and conserves and 
     improves forested land and potentially forested land, through 
     technical, financial, and educational assistance to 
     qualifying individuals and entities; and
       (6) to maximize the proper management and conservation of 
     wetland forests and to assist in the restoration of those 
     forests.

     SEC. 302. WATERSHED FORESTRY ASSISTANCE PROGRAM.

       The Cooperative Forestry Assistance Act of 1978 is amended 
     by inserting after section 5 (16 U.S.C. 2103a) the following:

     ``SEC. 6. WATERSHED FORESTRY ASSISTANCE PROGRAM.

       ``(a) Definition of Nonindustrial Private Forest Land.--In 
     this section, the term `nonindustrial private forest land' 
     means rural land, as determined by the Secretary, that--
       ``(1) has existing tree cover or that is suitable for 
     growing trees; and
       ``(2) is owned by any nonindustrial private individual, 
     group, association, corporation, or other private legal 
     entity, that has definitive decisionmaking authority over the 
     land.
       ``(b) General Authority and Purpose.--The Secretary, acting 
     through the Chief of the Forest Service, may provide 
     technical, financial, and related assistance to State 
     foresters, equivalent State officials, and officials of the 
     Cooperative State Research, Education, and Extension Service 
     for the purpose of expanding State forest stewardship 
     capacities and activities through State forestry best-
     management practices and other means at the State level to 
     address watershed issues on non-Federal forested land and 
     potentially forested land.
       ``(c) Technical Assistance To Protect Water Quality.--
       ``(1) In general.--The Secretary, in cooperation with State 
     foresters, officials of the Cooperative State Research, 
     Education, and Extension Service, or equivalent State 
     officials, shall engage interested members of the public, 
     including nonprofit organizations and local watershed 
     councils, to develop a program of technical assistance to 
     protect water quality described in paragraph (2).
       ``(2) Purpose of program.--The program under this 
     subsection shall be designed--
       ``(A) to build and strengthen watershed partnerships that 
     focus on forested landscapes at the State, regional, and 
     local levels;
       ``(B) to provide State forestry best-management practices 
     and water quality technical assistance directly to owners of 
     nonindustrial private forest land;
       ``(C) to provide technical guidance to land managers and 
     policymakers for water quality protection through forest 
     management;
       ``(D) to complement State and local efforts to protect 
     water quality and provide enhanced opportunities for 
     consultation and cooperation among Federal and State agencies 
     charged with responsibility for water and watershed 
     management; and
       ``(E) to provide enhanced forest resource data and support 
     for improved implementation and monitoring of State forestry 
     best-management practices.
       ``(3) Implementation.--In the case of a participating 
     State, the program of technical assistance shall be 
     implemented by State foresters or equivalent State officials.
       ``(d) Watershed Forestry Cost-Share Program.--
       ``(1) In general.--The Secretary shall establish a 
     watershed forestry cost-share program--
       ``(A) which shall be--
       ``(i) administered by the Forest Service; and
       ``(ii) implemented by State foresters or equivalent State 
     officials in participating States; and
       ``(B) under which funds or other support provided to 
     participating States shall be made available for State 
     forestry best-management practices programs and watershed 
     forestry projects.
       ``(2) Watershed forestry projects.--The State forester, 
     State Research, Education and Extension official, or 
     equivalent State official of a participating State, in 
     coordination with the State Forest Stewardship Coordinating 
     Committee established under section 19(b) (or an equivalent 
     committee) for that State, shall make awards to communities, 
     nonprofit groups, and owners of nonindustrial private forest 
     land under the program for watershed forestry projects 
     described in paragraph (3).
       ``(3) Project elements and objectives.--A watershed 
     forestry project shall accomplish

[[Page 26977]]

     critical forest stewardship, watershed protection, and 
     restoration needs within a State by demonstrating the value 
     of trees and forests to watershed health and condition 
     through--
       ``(A) the use of trees as solutions to water quality 
     problems in urban and rural areas;
       ``(B) community-based planning, involvement, and action 
     through State, local and nonprofit partnerships;
       ``(C) application of and dissemination of monitoring 
     information on forestry best-management practices relating to 
     watershed forestry;
       ``(D) watershed-scale forest management activities and 
     conservation planning; and
       ``(E)(i) the restoration of wetland (as defined by the 
     States) and stream-side forests; and
       ``(ii) the establishment of riparian vegetative buffers.
       ``(4) Cost-sharing.--
       ``(A) Federal share.--
       ``(i) Funds under this subsection.--Funds provided under 
     this subsection for a watershed forestry project may not 
     exceed 75 percent of the cost of the project.
       ``(ii) Other federal funds.--The percentage of the cost of 
     a project described in clause (i) that is not covered by 
     funds made available under this subsection may be paid using 
     other Federal funding sources, except that the total Federal 
     share of the costs of the project may not exceed 90 percent.
       ``(B) Form.--The non-Federal share of the costs of a 
     project may be provided in the form of cash, services, or 
     other in-kind contributions.
       ``(5) Prioritization.--The State Forest Stewardship 
     Coordinating Committee for a State, or equivalent State 
     committee, shall prioritize watersheds in that State to 
     target watershed forestry projects funded under this 
     subsection.
       ``(6) Watershed forester.--Financial and technical 
     assistance shall be made available to the State Forester or 
     equivalent State official to create a State watershed or 
     best-management practice forester position to--
       ``(A) lead statewide programs; and
       ``(B) coordinate watershed-level projects.
       ``(e) Distribution.--
       ``(1) In general.--Of the funds made available for a fiscal 
     year under subsection (g), the Secretary shall use--
       ``(A) at least 75 percent of the funds to carry out the 
     cost-share program under subsection (d); and
       ``(B) the remainder of the funds to deliver technical 
     assistance, education, and planning, at the local level, 
     through the State Forester or equivalent State official.
       ``(2) Special considerations.--Distribution of funds by the 
     Secretary among States under paragraph (1) shall be made only 
     after giving appropriate consideration to--
       ``(A) the acres of agricultural land, nonindustrial private 
     forest land, and highly erodible land in each State;
       ``(B) the miles of riparian buffer needed;
       ``(C) the miles of impaired stream segments and other 
     impaired water bodies where forestry practices can be used to 
     restore or protect water resources;
       ``(D) the number of owners of nonindustrial private forest 
     land in each State; and
       ``(E) water quality cost savings that can be achieved 
     through forest watershed management.
       ``(f) Willing Owners.--
       ``(1) In general.--Participation of an owner of 
     nonindustrial private forest land in the watershed forestry 
     assistance program under this section is voluntary.
       ``(2) Written consent.--The watershed forestry assistance 
     program shall not be carried out on nonindustrial private 
     forest land without the written consent of the owner of, or 
     entity having definitive decisionmaking over, the 
     nonindustrial private forest land.
       ``(g) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $15,000,000 for 
     each of fiscal years 2004 through 2008.''.

     SEC. 303. TRIBAL WATERSHED FORESTRY ASSISTANCE.

       (a) In General.--The Secretary of Agriculture (referred to 
     in this section as the ``Secretary''), acting through the 
     Chief of the Forest Service, shall provide technical, 
     financial, and related assistance to Indian tribes for the 
     purpose of expanding tribal stewardship capacities and 
     activities through tribal forestry best-management practices 
     and other means at the tribal level to address watershed 
     issues on land under the jurisdiction of or administered by 
     the Indian tribes.
       (b) Technical Assistance To Protect Water Quality.--
       (1) In general.--The Secretary, in cooperation with Indian 
     tribes, shall develop a program to provide technical 
     assistance to protect water quality, as described in 
     paragraph (2).
       (2) Purpose of program.--The program under this subsection 
     shall be designed--
       (A) to build and strengthen watershed partnerships that 
     focus on forested landscapes at the State, regional, tribal, 
     and local levels;
       (B) to provide tribal forestry best-management practices 
     and water quality technical assistance directly to Indian 
     tribes;
       (C) to provide technical guidance to tribal land managers 
     and policy makers for water quality protection through forest 
     management;
       (D) to complement tribal efforts to protect water quality 
     and provide enhanced opportunities for consultation and 
     cooperation among Federal agencies and tribal entities 
     charged with responsibility for water and watershed 
     management; and
       (E) to provide enhanced forest resource data and support 
     for improved implementation and monitoring of tribal forestry 
     best-management practices.
       (c) Watershed Forestry Program.--
       (1) In general.--The Secretary shall establish a watershed 
     forestry program to be administered by Indian tribes.
       (2) Programs and projects.--Funds or other support provided 
     under the program shall be made available for tribal forestry 
     best-management practices programs and watershed forestry 
     projects.
       (3) Annual awards.--The Secretary shall annually make 
     awards to Indian tribes to carry out this subsection.
       (4) Project elements and objectives.--A watershed forestry 
     project shall accomplish critical forest stewardship, 
     watershed protection, and restoration needs within land under 
     the jurisdiction of or administered by an Indian tribe by 
     demonstrating the value of trees and forests to watershed 
     health and condition through--
       (A) the use of trees as solutions to water quality 
     problems;
       (B) application of and dissemination of monitoring 
     information on forestry best-management practices relating to 
     watershed forestry;
       (C) watershed-scale forest management activities and 
     conservation planning;
       (D) the restoration of wetland and stream-side forests and 
     the establishment of riparian vegetative buffers; and
       (E) tribal-based planning, involvement, and action through 
     State, tribal, local, and nonprofit partnerships.
       (5) Prioritization.--An Indian tribe that participates in 
     the program under this subsection shall prioritize watersheds 
     in land under the jurisdiction of or administered by the 
     Indian tribe to target watershed forestry projects funded 
     under this subsection.
       (6) Watershed forester.--The Secretary may provide to 
     Indian tribes under this section financial and technical 
     assistance to establish a position of tribal forester to lead 
     tribal programs and coordinate small watershed-level 
     projects.
       (d) Distribution.--The Secretary shall devote--
       (1) at least 75 percent of the funds made available for a 
     fiscal year under subsection (e) to the program under 
     subsection (c); and
       (2) the remainder of the funds to deliver technical 
     assistance, education, and planning on the ground to Indian 
     tribes.
       (e) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $2,500,000 for 
     each of fiscal years 2004 through 2008.

           TITLE IV--INSECT INFESTATIONS AND RELATED DISEASES

     SEC. 401. FINDINGS AND PURPOSE.

       (a) Findings.--Congress finds that--
       (1) high levels of tree mortality resulting from insect 
     infestation (including the interaction between insects and 
     diseases) may result in--
       (A) increased fire risk;
       (B) loss of old trees and old growth;
       (C) loss of threatened and endangered species;
       (D) loss of species diversity;
       (E) degraded watershed conditions;
       (F) increased potential for damage from other agents of 
     disturbance, including exotic, invasive species; and
       (G) decreased timber values;
       (2)(A) forest-damaging insects destroy hundreds of 
     thousands of acres of trees each year;
       (B) in the West, more than 21,000,000 acres are at high 
     risk of forest-damaging insect infestation, and in the South, 
     more than 57,000,000 acres are at risk across all land 
     ownerships; and
       (C) severe drought conditions in many areas of the South 
     and West will increase the risk of forest-damaging insect 
     infestations;
       (3) the hemlock woolly adelgid is--
       (A) destroying streamside forests throughout the mid-
     Atlantic and Appalachian regions;
       (B) threatening water quality and sensitive aquatic 
     species; and
       (C) posing a potential threat to valuable commercial timber 
     land in northern New England;
       (4)(A) the emerald ash borer is a nonnative, invasive pest 
     that has quickly become a major threat to hardwood forests 
     because an emerald ash borer infestation is almost always 
     fatal to affected trees; and
       (B) the emerald ash borer pest threatens to destroy more 
     than 692,000,000 ash trees in forests in Michigan and Ohio 
     alone, and between 5 and 10 percent of urban street trees in 
     the Upper Midwest;
       (5)(A) epidemic populations of Southern pine beetles are 
     ravaging forests in Alabama, Arkansas, Florida, Georgia, 
     Kentucky, Mississippi, North Carolina, South Carolina, 
     Tennessee, and Virginia; and
       (B) in 2001, Florida and Kentucky experienced 146 percent 
     and 111 percent increases, respectively, in Southern pine 
     beetle populations;

[[Page 26978]]

       (6) those epidemic outbreaks of Southern pine beetles have 
     forced private landowners to harvest dead and dying trees, in 
     rural areas and increasingly urbanized settings;
       (7) according to the Forest Service, recent outbreaks of 
     the red oak borer in Arkansas and Missouri have been 
     unprecedented, with more than 1,000,000 acres infested at 
     population levels never seen before;
       (8) much of the damage from the red oak borer has taken 
     place in national forests, and the Federal response has been 
     inadequate to protect forest ecosystems and other ecological 
     and economic resources;
       (9)(A) previous silvicultural assessments, while useful and 
     informative, have been limited in scale and scope of 
     application; and
       (B) there have not been sufficient resources available to 
     adequately test a full array of individual and combined 
     applied silvicultural assessments;
       (10) only through the full funding, development, and 
     assessment of potential applied silvicultural assessments 
     over specific time frames across an array of environmental 
     and climatic conditions can the most innovative and cost 
     effective management applications be determined that will 
     help reduce the susceptibility of forest ecosystems to attack 
     by forest pests;
       (11)(A) often, there are significant interactions between 
     insects and diseases;
       (B) many diseases (such as white pine blister rust, beech 
     bark disease, and many other diseases) can weaken trees and 
     forest stands and predispose trees and forest stands to 
     insect attack; and
       (C) certain diseases are spread using insects as vectors 
     (including Dutch elm disease and pine pitch canker); and
       (12) funding and implementation of an initiative to combat 
     forest pest infestations and associated diseases should not 
     come at the expense of supporting other programs and 
     initiatives of the Secretary.
       (b) Purposes.--The purposes of this title are--
       (1) to require the Secretary to develop an accelerated 
     basic and applied assessment program to combat infestations 
     by forest-damaging insects and associated diseases;
       (2) to enlist the assistance of colleges and universities 
     (including forestry schools, land grant colleges and 
     universities, and 1890 Institutions), State agencies, and 
     private landowners to carry out the program; and
       (3) to carry out applied silvicultural assessments.

     SEC. 402. DEFINITIONS.

       In this title:
       (1) Applied silvicultural assessment.--
       (A) In general.--The term ``applied silvicultural 
     assessment'' means any vegetative or other treatment carried 
     out for a purpose described in section 403.
       (B) Inclusions.--The term ``applied silvicultural 
     assessment'' includes (but is not limited to) timber 
     harvesting, thinning, prescribed burning, pruning, and any 
     combination of those activities.
       (2) 1890 institution.--
       (A) In general.--The term ``1890 Institution'' means a 
     college or university that is eligible to receive funds under 
     the Act of August 30, 1890 (7 U.S.C. 321 et seq.).
       (B) Inclusion.--The term ``1890 Institution'' includes 
     Tuskegee University.
       (3) Forest-damaging insect.--The term ``forest-damaging 
     insect'' means--
       (A) a Southern pine beetle;
       (B) a mountain pine beetle;
       (C) a spruce bark beetle;
       (D) a gypsy moth;
       (E) a hemlock woolly adelgid;
       (F) an emerald ash borer;
       (G) a red oak borer;
       (H) a white oak borer; and
       (I) such other insects as may be identified by the 
     Secretary.
       (4) Secretary.--The term ``Secretary'' means--
       (A) the Secretary of Agriculture, acting through the Forest 
     Service, with respect to National Forest System land; and
       (B) the Secretary of the Interior, acting through 
     appropriate offices of the United States Geological Survey, 
     with respect to federally owned land administered by the 
     Secretary of the Interior.

     SEC. 403. ACCELERATED INFORMATION GATHERING REGARDING FOREST-
                   DAMAGING INSECTS.

       (a) Information Gathering.--The Secretary, acting through 
     the Forest Service and United States Geological Survey, as 
     appropriate, shall establish an accelerated program--
       (1) to plan, conduct, and promote comprehensive and 
     systematic information gathering on forest-damaging insects 
     and associated diseases, including an evaluation of--
       (A) infestation, prevention, and suppression methods;
       (B) effects of infestations and associated disease 
     interactions on forest ecosystems;
       (C) restoration of forest ecosystem efforts;
       (D) utilization options regarding infested trees; and
       (E) models to predict the occurrence, distribution, and 
     impact of outbreaks of forest-damaging insects and associated 
     diseases;
       (2) to assist land managers in the development of 
     treatments and strategies to improve forest health and reduce 
     the susceptibility of forest ecosystems to severe 
     infestations of forest-damaging insects and associated 
     diseases on Federal land and State and private land; and
       (3) to disseminate the results of the information 
     gathering, treatments, and strategies.
       (b) Cooperation and Assistance.--The Secretary shall--
       (1) establish and carry out the program in cooperation 
     with--
       (A) scientists from colleges and universities (including 
     forestry schools, land grant colleges and universities, and 
     1890 Institutions);
       (B) Federal, State, and local agencies; and
       (C) private and industrial landowners; and
       (2) designate such colleges and universities to assist in 
     carrying out the program.

     SEC. 404. APPLIED SILVICULTURAL ASSESSMENTS.

       (a) Assessment Efforts.--For information gathering and 
     research purposes, the Secretary may conduct applied 
     silvicultural assessments on Federal land that the Secretary 
     determines is at risk of infestation by, or is infested with, 
     forest-damaging insects.
       (b) Limitations.--
       (1) Exclusion of certain areas.--Subsection (a) does not 
     apply to--
       (A) a component of the National Wilderness Preservation 
     System;
       (B) any Federal land on which, by Act of Congress or 
     Presidential proclamation, the removal of vegetation is 
     restricted or prohibited;
       (C) a congressionally-designated wilderness study area; or
       (D) an area in which activities under subsection (a) would 
     be inconsistent with the applicable land and resource 
     management plan.
       (2) Certain treatment prohibited.--Nothing in subsection 
     (a) authorizes the application of insecticides in municipal 
     watersheds or associated riparian areas.
       (3) Peer review.--
       (A) In general.--Before being carried out, each applied 
     silvicultural assessment under this title shall be peer 
     reviewed by scientific experts selected by the Secretary, 
     which shall include non-Federal experts.
       (B) Existing peer review processes.--The Secretary may use 
     existing peer review processes to the extent the processes 
     comply with subparagraph (A).
       (c) Public Notice and Comment.--
       (1) Public notice.--The Secretary shall provide notice of 
     each applied silvicultural assessment proposed to be carried 
     out under this section.
       (2) Public comment.--The Secretary shall provide an 
     opportunity for public comment before carrying out an applied 
     silviculture assessment under this section.
       (d) Categorical Exclusion.--
       (1) In general.--Applied silvicultural assessment and 
     research treatments carried out under this section on not 
     more than 1,000 acres for an assessment or treatment may be 
     categorically excluded from documentation in an environmental 
     impact statement and environmental assessment under the 
     National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
     seq.).
       (2) Administration.--Applied silvicultural assessments and 
     research treatments categorically excluded under paragraph 
     (1)--
       (A) shall not be carried out in an area that is adjacent to 
     another area that is categorically excluded under paragraph 
     (1) that is being treated with similar methods; and
       (B) shall be subject to the extraordinary circumstances 
     procedures established by the Secretary pursuant to section 
     1508.4 of title 40, Code of Federal Regulations.
       (3) Maximum categorical exclusion.--The total number of 
     acres categorically excluded under paragraph (1) shall not 
     exceed 250,000 acres.
       (4) No additional findings required.--In accordance with 
     paragraph (1), the Secretary shall not be required to make 
     any findings as to whether an applied silvicultural 
     assessment project, either individually or cumulatively, has 
     a significant effect on the environment.

     SEC. 405. RELATION TO OTHER LAWS.

       The authority provided to each Secretary under this title 
     is supplemental to, and not in lieu of, any authority 
     provided to the Secretaries under any other law.

     SEC. 406. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated such sums as are 
     necessary to carry out this title for each of fiscal years 
     2004 through 2008.

                TITLE V--HEALTHY FORESTS RESERVE PROGRAM

     SEC. 501. ESTABLISHMENT OF HEALTHY FORESTS RESERVE PROGRAM.

       (a) Establishment.--The Secretary of Agriculture shall 
     establish the healthy forests reserve program for the purpose 
     of restoring and enhancing forest ecosystems--
       (1) to promote the recovery of threatened and endangered 
     species;
       (2) to improve biodiversity; and
       (3) to enhance carbon sequestration.
       (b) Coordination.--The Secretary of Agriculture shall carry 
     out the healthy forests reserve program in coordination with 
     the Secretary of the Interior and the Secretary of Commerce.

     SEC. 502. ELIGIBILITY AND ENROLLMENT OF LANDS IN PROGRAM.

       (a) In General.--The Secretary of Agriculture, in 
     coordination with the Secretary

[[Page 26979]]

     of the Interior and the Secretary of Commerce, shall describe 
     and define forest ecosystems that are eligible for enrollment 
     in the healthy forests reserve program.
       (b) Eligibility.--To be eligible for enrollment in the 
     healthy forests reserve program, land shall be--
       (1) private land the enrollment of which will restore, 
     enhance, or otherwise measurably increase the likelihood of 
     recovery of a species listed as endangered or threatened 
     under section 4 of the Endangered Species Act of 1973 (16 
     U.S.C. 1533); and
       (2) private land the enrollment of which will restore, 
     enhance, or otherwise measurably improve the well-being of 
     species that--
       (A) are not listed as endangered or threatened under 
     section 4 of the Endangered Species Act of 1973 (16 U.S.C. 
     1533); but
       (B) are candidates for such listing, State-listed species, 
     or special concern species.
       (c) Other Considerations.--In enrolling land that satisfies 
     the criteria under subsection (b), the Secretary of 
     Agriculture shall give additional consideration to land the 
     enrollment of which will--
       (1) improve biological diversity; and
       (2) increase carbon sequestration.
       (d) Enrollment by Willing Owners.--The Secretary of 
     Agriculture shall enroll land in the healthy forests reserve 
     program only with the consent of the owner of the land.
       (e) Maximum Enrollment.--The total number of acres enrolled 
     in the healthy forests reserve program shall not exceed 
     2,000,000 acres.
       (f) Methods of Enrollment.--
       (1) In general.--Land may be enrolled in the healthy 
     forests reserve program in accordance with--
       (A) a 10-year cost-share agreement;
       (B) a 30-year agreement; or
       (C) an agreement of not more than 99 years.
       (2) Proportion.--The extent to which each enrollment method 
     is used shall be based on the approximate proportion of owner 
     interest expressed in that method in comparison to the other 
     methods.
       (g) Enrollment Priority.--
       (1) Species.--The Secretary of Agriculture shall give 
     priority to the enrollment of land that provides the greatest 
     conservation benefit to--
       (A) primarily, species listed as endangered or threatened 
     under section 4 of the Endangered Species Act of 1973 (16 
     U.S.C. 1533); and
       (B) secondarily, species that--
       (i) are not listed as endangered or threatened under 
     section 4 of the Endangered Species Act of 1973 (16 U.S.C. 
     1533); but
       (ii) are candidates for such listing, State-listed species, 
     or special concern species.
       (2) Cost-effectiveness.--The Secretary of Agriculture shall 
     also consider the cost-effectiveness of each agreement, and 
     associated restoration plans, so as to maximize the 
     environmental benefits per dollar expended.

     SEC. 503. RESTORATION PLANS.

       (a) In General.--Land enrolled in the healthy forests 
     reserve program shall be subject to a restoration plan, to be 
     developed jointly by the landowner and the Secretary of 
     Agriculture.
       (b) Practices.--The restoration plan shall require such 
     restoration practices as are necessary to restore and enhance 
     habitat for--
       (1) species listed as endangered or threatened under 
     section 4 of the Endangered Species Act of 1973 (16 U.S.C. 
     1533); and
       (2) animal or plant species before the species reach 
     threatened or endangered status, such as candidate, State-
     listed species, and special concern species.

     SEC. 504. FINANCIAL ASSISTANCE.

       (a) Agreements of Not More Than 99 Years.--In the case of 
     land enrolled in the healthy forests reserve program using an 
     agreement of not more than 99 years described in section 
     502(f)(1)(C), the Secretary of Agriculture shall pay the 
     owner of the land an amount equal to not less than 75 
     percent, nor more than 100 percent, of (as determined by the 
     Secretary)--
       (1) the fair market value of the enrolled land during the 
     period the land is subject to the agreement, less the fair 
     market value of the land encumbered by the agreement; and
       (2) the actual costs of the approved conservation practices 
     or the average cost of approved practices carried out on the 
     land during the period in which the land is subject to the 
     agreement.
       (b) 30-Year Agreement.-- In the case of land enrolled in 
     the healthy forests reserve program using a 30-year 
     agreement, the Secretary of Agriculture shall pay the owner 
     of the land an amount equal to not more than (as determined 
     by the Secretary)--
       (1) 75 percent of the fair market value of the land, less 
     the fair market value of the land encumbered by the 
     agreement; and
       (2) 75 percent of the actual costs of the approved 
     conservation practices or 75 percent of the average cost of 
     approved practices.
       (c) 10-Year Agreement.--In the case of land enrolled in the 
     healthy forests reserve program using a 10-year cost-share 
     agreement, the Secretary of Agriculture shall pay the owner 
     of the land an amount equal to not more than (as determined 
     by the Secretary)--
       (1) 50 percent of the actual costs of the approved 
     conservation practices; or
       (2) 50 percent of the average cost of approved practices.
       (d) Acceptance of Contributions.--The Secretary of 
     Agriculture may accept and use contributions of non-Federal 
     funds to make payments under this section.

     SEC. 505. TECHNICAL ASSISTANCE.

       (a) In General.--The Secretary of Agriculture shall provide 
     landowners with technical assistance to assist the owners in 
     complying with the terms of plans (as included in agreements) 
     under the healthy forests reserve program.
       (b) Technical Service Providers.--The Secretary of 
     Agriculture may request the services of, and enter into 
     cooperative agreements with, individuals or entities 
     certified as technical service providers under section 1242 
     of the Food Security Act of 1985 (16 U.S.C. 3842), to assist 
     the Secretary in providing technical assistance necessary to 
     develop and implement the healthy forests reserve program.

     SEC. 506. PROTECTIONS AND MEASURES

       (a) Protections.--In the case of a landowner that enrolls 
     land in the program and whose conservation activities result 
     in a net conservation benefit for listed, candidate, or other 
     species, the Secretary of Agriculture shall make available to 
     the landowner safe harbor or similar assurances and 
     protection under--
       (1) section 7(b)(4) of the Endangered Species Act of 1973 
     (16 U.S.C. 1536(b)(4)); or
       (2) section 10(a)(1) of that Act (16 U.S.C. 1539(a)(1)).
       (b) Measures.--If protection under subsection (a) requires 
     the taking of measures that are in addition to the measures 
     covered by the applicable restoration plan agreed to under 
     section 503, the cost of the additional measures, as well as 
     the cost of any permit, shall be considered part of the 
     restoration plan for purposes of financial assistance under 
     section 504.

     SEC. 507. INVOLVEMENT BY OTHER AGENCIES AND ORGANIZATIONS.

       In carrying out this title, the Secretary of Agriculture 
     may consult with--
       (1) nonindustrial private forest landowners;
       (2) other Federal agencies;
       (3) State fish and wildlife agencies;
       (4) State forestry agencies;
       (5) State environmental quality agencies;
       (6) other State conservation agencies; and
       (7) nonprofit conservation organizations.

     SEC. 508. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to carry out this 
     title--
       (1) $25,000,000 for fiscal year 2004; and
       (2) such sums as are necessary for each of fiscal years 
     2005 through 2008.

                      TITLE VI--PUBLIC LAND CORPS

     SEC. 601. PURPOSES.

       The purposes of this title are--
       (1) to carry out, in a cost-effective and efficient manner, 
     rehabilitation, enhancement, and beautification projects;
       (2) to offer young people, ages 16 through 25, particularly 
     those who are at-risk or economically disadvantaged, the 
     opportunity to gain productive employment and exposure to the 
     world of work;
       (3) to give those young people the opportunity to serve 
     their communities and their country; and
       (4) to expand educational opportunities by rewarding 
     individuals who participate in the Public Land Corps with an 
     increased ability to pursue higher education or job training.

     SEC. 602. DEFINITIONS.

       In this title:
       (1) Alaska native corporation.--The term ``Alaska Native 
     Corporation'' means a Regional Corporation or Village 
     Corporation, as defined in section 101(11) of the National 
     and Community Service Act of 1990 (42 U.S.C. 12511(11)).
       (2) Corps.--The term ``Corps'' means the Public Land Corps 
     established under section 603(a).
       (3) Hawaiian home lands.--The term ``Hawaiian home lands'' 
     means that term, within the meaning of the National and 
     Community Service Act of 1990 (42 U.S.C. 12501 et seq.).
       (4) Indian lands.--The term ``Indian lands'' has the 
     meaning given the term in section 101 of the National and 
     Community Service Act of 1990 (42 U.S.C. 12511).
       (5) Secretaries.--The term ``Secretaries'' means--
       (A) the Secretary of Agriculture; and
       (B) the Secretary of the Interior.
       (6) Service and conservation corps.--The term ``service and 
     conservation corps'' means any organization established by a 
     State or local government, nonprofit organization, or Indian 
     tribe that--
       (A) has a demonstrable capability to provide productive 
     work to individuals;
       (B) gives participants a combination of work experience, 
     basic and life skills, education, training, and support 
     services; and
       (C) provides participants with the opportunity to develop 
     citizenship values through service to their communities and 
     the United States.
       (7) State.--The term ``State'' means--
       (A) a State;
       (B) the District of Columbia;
       (C) the Commonwealth of Puerto Rico;
       (D) Guam;
       (E) American Samoa;
       (F) the Commonwealth of the Northern Mariana Islands;
       (G) the Federated States of Micronesia;
       (H) the Republic of the Marshall Islands;
       (I) the Republic of Palau; and

[[Page 26980]]

       (J) the United States Virgin Islands.

     SEC. 603. PUBLIC LAND CORPS.

       (a) Establishment.--There is established a Public Land 
     Corps.
       (b) Participants.--The Corps shall consist of individuals 
     who are enrolled as members of a service or conservation 
     corps.
       (c) Contracts or Agreements.--The Secretaries may enter 
     into contracts or cooperative agreements--
       (1) directly with any service and conservation corps to 
     perform appropriate rehabilitation, enhancement, or 
     beautification projects; or
       (2) with a department of natural resources, agriculture, or 
     forestry (or an equivalent department) of any State that has 
     entered into a contract or cooperative agreement with a 
     service and conservation corps to perform appropriate 
     rehabilitation, enhancement, or beautification projects.
       (d) Projects.--
       (1) In general.--The Secretaries may use the members of a 
     service and conservation corps to perform rehabilitation, 
     enhancement, or beautification projects authorized by law.
       (2) Included land.--In addition to Federal and State lands, 
     the projects may be carried out on--
       (A) Indian lands, with the approval of the applicable 
     Indian tribe;
       (B) Hawaiian home lands, with the approval of the relevant 
     State agency in the State of Hawaii; and
       (C) Alaska native lands, with the approval of the 
     applicable Alaska Native Corporation.
       (e) Preference.--In carrying out this title, the 
     Secretaries shall give preference to projects that will--
       (1) provide long-term benefits by reducing hazardous fuels 
     on Federal land;
       (2) instill in members of the service and conservation 
     corps--
       (A) a work ethic;
       (B) a sense of personal responsibility; and
       (C) a sense of public service;
       (3) be labor intensive; and
       (4) be planned and initiated promptly.
       (f) Supportive Services.--The Secretaries may provide such 
     services as the Secretaries consider necessary to carry out 
     this title.
       (g) Technical Assistance.--To carry out this title, the 
     Secretaries shall provide technical assistance, oversight, 
     monitoring, and evaluation to--
       (1) State Departments of Natural Resources and Agriculture 
     (or equivalent agencies); and
       (2) members of service and conservation corps.

     SEC. 604. NONDISPLACEMENT.

       The nondisplacement requirements of section 177(b) of the 
     National and Community Service Act of 1990 (42 U.S.C. 
     12637(b)) shall apply to activities carried out by the Corps 
     under this title.

     SEC. 605. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to carry out this 
     title $15,000,000 for each of fiscal years 2004 through 2008.

         TITLE VII--RURAL COMMUNITY FORESTRY ENTERPRISE PROGRAM

     SEC. 701. PURPOSE

       The purpose of this title is to assist in the economic 
     revitalization of rural forest resource-dependent communities 
     through incentives and collaboration to promote investment in 
     private enterprise and community development by--
       (1) the Department of Agriculture;
       (2) the Department of the Interior;
       (3) the Department of Commerce;
       (4) the Small Business Administration;
       (5) land grant colleges and universities; and
       (6) 1890 Institutions.

     SEC. 702. DEFINITIONS.

       In this title:
       (1) 1890 institution.--The term ``1890 Institution'' has 
     the meaning given the term in section 2 of the Agricultural 
     Research, Extension, and Education Reform Act of 1998 (7 
     U.S.C. 7601).
       (2) Eligible entity.--The term ``eligible entity'' means--
       (A) a unit of State or local government;
       (B) an Indian tribe;
       (C) a nonprofit organization;
       (D) a small forest products business;
       (E) a rural forest resource-dependent community;
       (F) a land grant college or university; or
       (G) an 1890 institution.
       (3) Eligible project.--The term ``eligible project'' means 
     a project described in section 703 that will promote the 
     economic development in rural forest resource-dependent 
     communities based on--
       (A) responsible forest stewardship;
       (B) the production of sustainable forest products; or
       (C) the development of forest related tourism and 
     recreation activities.
       (4) Forest products.--The term ``forest products'' means--
       (A) logs;
       (B) lumber;
       (C) chips;
       (D) small-diameter finished wood products;
       (E) energy biomass;
       (F) mulch; and
       (G) any other material derived from forest vegetation or 
     individual trees or shrubs.
       (5) Nonprofit organization.--The term ``nonprofit 
     organization'' means an organization that is--
       (A) described in section 501(c) of the Internal Revenue 
     Code of 1986; and
       (B) exempt from taxation under 501(a) of that Code.
       (6) Program.--The term ``program'' means the rural 
     community forestry enterprise program established under 
     section 703.
       (7) Small forest products business.--The term ``small 
     forest products business'' means a small business concern (as 
     defined under section 3 of the Small Business Act (15 U.S.C. 
     632)) that is classified under subsector 113 or code number 
     115310 of the North American Industrial Classification 
     System.
       (8) Rural forest resource-dependent community.--
       (A) In general.--The term ``rural forest resource-dependent 
     community'' means a community located in a rural area of the 
     United States that is traditionally dependent on forestry 
     products as a primary source of community infrastructure.
       (B) Inclusions.--The term ``rural forest resource-dependent 
     community'' includes a community described in subparagraph 
     (A) located in--
       (i) the northern forest land of Maine;
       (ii) New Hampshire;
       (iii) New York;
       (iv) Vermont;
       (v) the Upper Peninsula of Michigan;
       (vi) northern California; and
       (vii) eastern Oregon.
       (9) Secretary.--The term ``Secretary'' means the Secretary 
     of Agriculture, acting through the Chief of the Forest 
     Service.

     SEC. 703. RURAL COMMUNITY FORESTRY ENTERPRISE PROGRAM.

       (a) In General.--
       (1) Establishment.--The Secretary shall establish within 
     the Forest Service a program to be known as the ``Rural 
     Community Forestry Enterprise Program''.
       (2) Consultation.--In carrying out the program, the 
     Secretary shall consult with--
       (A) the Small Business Administration;
       (B) the Economic Development Administration;
       (C) land grant colleges and universities;
       (D) 1890 institutions;
       (E) research stations and laboratories of the Forest 
     Service;
       (F) other agencies of the Department of Agriculture that 
     administer rural development programs; and
       (G) private nonprofit organizations.
       (b) Purposes.--The purposes of the program are--
       (1) to enhance technical and business management skills 
     training;
       (2) to organize cooperatives and marketing programs;
       (3) to establish and maintain timber worker skill pools;
       (4) to establish and maintain forest product distribution 
     networks and collection centers;
       (5) to facilitate technology transfer for processing small 
     diameter trees and brush into useful products;
       (6) to develop, where support exists, a program to promote 
     science-based technology implementation and technology 
     transfer that expands the capacity for small forest product 
     businesses to work within market areas;
       (7) to promote forest-related tourism and recreational 
     activities;
       (8) to enhance the rural forest business infrastructure 
     needed to reduce hazardous fuels on public and private land; 
     and
       (9) to carry out related programs and activities, as 
     determined by the Secretary.
       (c) Forest Enterprise Centers.--
       (1) In general.--The Secretary shall establish Forest 
     Enterprise Centers to provide services to rural forest-
     dependent communities.
       (2) Location.--A Center shall be located within close 
     proximity of rural forest-dependent communities served by the 
     Center, with at least 1 center located in each of the States 
     of California, Idaho, Oregon, Montana, New Mexico, Vermont, 
     and Washington.
       (3) Duties.--A Center shall--
       (A) carry out eligible projects; and
       (B) coordinate assistance provided to small forest products 
     businesses with--
       (i) the Small Business Administration, including the timber 
     set-aside program carried out by the Small Business 
     Administration;
       (ii) the Rural Utilities Service, the Rural Housing 
     Service, and the Rural Business-Cooperative Service of the 
     Department of Agriculture;
       (iii) the Economic Development Administration, including 
     the local technical assistance program of the Economic 
     Development Administration; and
       (iv) research stations and laboratories of the Forest 
     Service.
       (d) Forest Enterprise Technical Assistance and Grant 
     Program.--
       (1) In general.--The Secretary, acting through the Forest 
     Enterprise Centers established under subsection (c), shall 
     establish a program to provide technical assistance and 
     grants to eligible entities to carry out eligible projects.
       (2) Criteria.--The Secretary shall work with each Forest 
     Enterprise Center to develop appropriate program review and 
     prioritization criteria for each Research Station.

[[Page 26981]]

       (3) Matching funds.--Grants under this section shall--
       (A) not exceed 50 percent of the cost of an eligible 
     project; and
       (B) be made on the condition that non-Federal sources pay 
     for the remainder of the cost of an eligible project 
     (including payment through in-kind contributions of services 
     or materials).
       (4) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $15,000,000 
     for each of fiscal years 2004 through 2008.

            TITLE VIII--FIREFIGHTERS MEDICAL MONITORING ACT

     SEC. 801. SHORT TITLE.

       This title shall be referred to as the ``Firefighters 
     Medical Monitoring Act of 2003''.

     SEC. 802. MONITORING OF FIREFIGHTERS IN DISASTER AREAS.

       (a) In General.--The National Institute for Occupational 
     Safety and Health shall monitor the long-term medical health 
     of those firefighters who fought fires in any area declared a 
     disaster area by the Federal Government.
       (b) Health Monitoring.--The long-term health monitoring 
     referred to in subsection (a) shall include, but not be 
     limited to, pulmonary illness, neurological damage, and 
     cardiovascular damage, and shall utilize the medical 
     expertise in the local areas affected.
       (c) Authorization.--To carry out this title, there are 
     authorized to be appropriated such sums as may be necessary 
     in each of fiscal years 2004 through 2008.

             TITLE IX--DISASTER AIR QUALITY MONITORING ACT

     SEC. 901. SHORT TITLE.

       This title shall be referred to as the ``Disaster Air 
     Quality Monitoring Act of 2003''.

     SEC. 902. MONITORING OF AIR QUALITY IN DISASTER AREAS.

       (a) In General.--No later than six (6) months after the 
     enactment of this legislation, the Environmental Protection 
     Agency shall provide each of its regional offices a mobile 
     air pollution monitoring network to monitor the emissions of 
     hazardous air pollutants in areas declared a disaster as 
     referred to in subsection (b), and publish such information 
     on a daily basis on its web site and in other forums, until 
     such time as the Environmental Protection Agency has 
     determined that the danger has subsided.
       (b) Disaster Areas.--The areas referred to in subsection 
     (a) are those areas declared a disaster area by the Federal 
     Government.
       (c) Continuous Monitoring.--The monitoring referred to in 
     subsection (a) shall include the continuous and spontaneous 
     monitoring of hazardous air pollutants, as defined in Public 
     Law 95-95, section 112(b).
       (d) Authorization.--To carry out this title, there are 
     authorized to be appropriated $8,000,000.

                 TITLE X--HIGHLANDS REGION CONSERVATION

     SEC. 1001. SHORT TITLE.

       This title may be cited as the ``Highlands Conservation 
     Act''.

     SEC. 1002. FINDINGS.

       Congress finds the following:
       (1) The Highlands region is a physiographic province that 
     encompasses more than 2,000,000 acres extending from eastern 
     Pennsylvania through the States of New Jersey and New York to 
     northwestern Connecticut.
       (2) The Highlands region is an environmentally unique area 
     that--
       (A) provides clean drinking water to over 15,000,000 people 
     in metropolitan areas in the States of Connecticut, New 
     Jersey, New York, and Pennsylvania;
       (B) provides critical wildlife habitat, including habitat 
     for 247 threatened and endangered species;
       (C) maintains an important historic connection to early 
     Native American culture, colonial settlement, the American 
     Revolution, and the Civil War;
       (D) contains recreational resources for 14 million visitors 
     annually;
       (E) provides other significant ecological, natural, 
     tourism, recreational, educational, and economic benefits; 
     and
       (F) provides homeownership opportunities and access to 
     affordable housing that is safe, clean, and healthy;
       (3) An estimated 1 in 12 citizens of the United States live 
     within a 2-hour drive of the Highlands region.
       (4) More than 1,400,000 residents live in the Highlands 
     region.
       (5) The Highlands region forms a greenbelt adjacent to the 
     Philadelphia-New York City-Hartford urban corridor that 
     offers the opportunity to preserve water, forest and 
     agricultural resources, wildlife habitat, recreational areas, 
     and historic sites, while encouraging sustainable economic 
     growth and development in a fiscally and environmentally 
     sound manner.
       (6) Continued population growth and land use patterns in 
     the Highlands region--
       (A) reduce the availability and quality of water;
       (B) reduce air quality;
       (C) fragment the forests;
       (D) destroy critical migration corridors and forest 
     habitat; and
       (E) result in the loss of recreational opportunities and 
     scenic, historic, and cultural resources;
       (7) The water, forest, wildlife, recreational, 
     agricultural, and cultural resources of the Highlands region, 
     in combination with the proximity of the Highlands region to 
     the largest metropolitan areas in the United States, make the 
     Highlands region nationally significant.
       (8) The national significance of the Highlands region has 
     been documented in--
       (A) the New York-New Jersey Highlands Regional Study 
     conducted by the Forest Service in 1990;
       (B) the New York-New Jersey Highlands Regional Study: 2002 
     Update conducted by the Forest Service;
       (C) the bi-State Skylands Greenway Task Force Report;
       (D) the New Jersey State Development and Redevelopment 
     Plan;
       (E) the New York State Open Space Conservation Plan;
       (F) the Connecticut Green Plan: Open Space Acquisition FY 
     2001-2006;
       (G) the open space plans of the State of Pennsylvania; and
       (H) other open space conservation plans for States in the 
     Highlands region;
       (9) The Highlands region includes or is adjacent to 
     numerous parcels of land owned by the Federal Government or 
     federally designated areas that protect, conserve, or restore 
     resources of the Highlands region, including--
       (A) the Wallkill River National Wildlife Refuge;
       (B) the Shawanagunk Grasslands Wildlife Refuge;
       (C) the Morristown National Historical Park;
       (D) the Delaware and Lehigh Canal Corridors;
       (E) the Hudson River Valley National Heritage Area;
       (F) the Delaware River Basin;
       (G) the Delaware Water Gap National Recreation Area;
       (H) the Upper Delaware Scenic and Recreational River;
       (I) the Appalachian National Scenic Trail;
       (J) the United States Military Academy at West Point, New 
     York;
       (K) the Highlands National Millenium Trail;
       (L) the Great Swamp National Wildlife Refuge;
       (M) the proposed Crossroads of the Revolution National 
     Heritage Area;
       (N) the proposed Musconetcong National Scenic and 
     Recreational River in New Jersey; and
       (O) the Farmington River Wild and Scenic Area in 
     Connecticut;
       (10) It is in the interest of the United States to protect, 
     conserve, and restore the resources of the Highlands region 
     for the residents of, and visitors to, the Highlands region.
       (11) The States of Connecticut, New Jersey, New York, and 
     Pennsylvania, and units of local government in the Highlands 
     region have the primary responsibility for protecting, 
     conserving, preserving, restoring and promoting the resources 
     of the Highlands region.
       (12) Because of the longstanding Federal practice of 
     assisting States in creating, protecting, conserving, and 
     restoring areas of significant natural and cultural 
     importance, and the national significance of the Highlands 
     region, the Federal Government should, in partnership with 
     the Highlands States and units of local government in the 
     Highlands region, protect, restore, and preserve the water, 
     forest, agricultural, wildlife, recreational and cultural 
     resources of the Highlands region.

     SEC. 1003. PURPOSES.

       The purposes of this title are as follows:
       (1) To recognize the importance of the water, forest, 
     agricultural, wildlife, recreational and cultural resources 
     of the Highlands, and the national significance of the 
     Highlands region to the United States.
       (2) To authorize the Secretary of Interior to work in 
     partnership with the Secretary of Agriculture to provide 
     financial assistance to the Highlands States to preserve and 
     protect high priority conservation lands in the Highlands 
     region.
       (3) To continue the ongoing Forest Service programs in the 
     Highlands region to assist the Highlands States, local units 
     of government and private forest and farm landowners in the 
     conservation of lands and natural resources in the Highlands 
     region.

     SEC. 1004. DEFINITIONS.

       In this title:
       (1) Highlands region.--The term ``Highlands region'' means 
     the physiographic province, defined by the Reading Prong and 
     ecologically similar adjacent upland areas, that encompasses 
     more than 2,000,000 acres extending from eastern Pennsylvania 
     through the States of New Jersey and New York to northwestern 
     Connecticut.
       (2) Highlands state.--The term ``Highlands State'' means--
       (A) the State of Connecticut;
       (B) the State of New Jersey;
       (C) the State of New York;
       (D) the State of Pennsylvania; and
       (E) any agency or department of any Highlands State.
       (3) Land conservation partnership project.--The term ``land 
     conservation partnership project'' means a land conservation 
     project located within the Highlands region

[[Page 26982]]

     identified as having high conservation value by the Forest 
     Service in which a non-Federal entity acquires land or an 
     interest in land from a willing seller for the purpose of 
     permanently protecting, conserving, or preserving the land 
     through a partnership with the Federal Government.
       (4) Non-federal entity.--The term ``non-Federal entity'' 
     means any Highlands State, or any agency or department of any 
     Highlands State with authority to own and manage land for 
     conservation purpose, including the Palisades Interstate Park 
     Commission.
       (5) Study.--The term ``study'' means the New York-New 
     Jersey Highlands Regional Study conducted by the Forest 
     Service in 1990.
       (6) Update.--The term ``update'' means the New York-New 
     Jersey Highlands Regional Study: 2002 Update conducted by the 
     Forest Service.

     SEC. 1005. LAND CONSERVATION PARTNERSHIP PROJECTS IN THE 
                   HIGHLANDS REGION.

       (a) Submission of Proposed Projects.--Annually, the 
     Governors of the Highlands States, with input from pertinent 
     units of local government and the public, may jointly 
     identify land conservation partnership projects in the 
     Highlands region that shall be proposed for Federal financial 
     assistance and submit a list of those projects to the 
     Secretary of the Interior.
       (b) Consideration of Projects.--The Secretary of the 
     Interior, in consultation with the Secretary of Agriculture, 
     shall annually submit to Congress a list of those land 
     conservation partnership projects submitted under subsection 
     (a) that are eligible to receive financial assistance under 
     this section.
       (c) Eligibility Conditions.--To be eligible for financial 
     assistance under this section for a land conservation 
     partnership project, a non-Federal entity shall enter into an 
     agreement with the Secretary of the Interior that--
       (1) identifies the non-Federal entity that shall own or 
     hold and manage the land or interest in land;
       (2) identifies the source of funds to provide the non-
     Federal share required under subsection (d);
       (3) describes the management objectives for the land that 
     will assure permanent protection and use of the land for the 
     purpose for which the assistance will be provided;
       (4) provides that, if the non-Federal entity converts, 
     uses, or disposes of the land conservation partnership 
     project for a purpose inconsistent with the purpose for which 
     the assistance was provided, as determined by the Secretary 
     of the Interior, the United States may seek specific 
     performance of the conditions of financial assistance in 
     accordance with paragraph (3) in Federal court and shall be 
     entitled to reimbursement from the non-Federal entity in an 
     amount that is, as determined at the time of conversion, use, 
     or disposal, the greater of--
       (A) the total amount of the financial assistance provided 
     for the project by the Federal Government under this section; 
     or
       (B) the amount by which the financial assistance increased 
     the value of the land or interest in land; and
       (5) provides that land conservation partnership projects 
     will be consistent with areas identified as having high 
     conservation value in the following:
       (A) Important Areas portion of the Forest Service study.
       (B) Conservation Focal Areas portion of the Forest Service 
     update.
       (C) Conservation Priorities portion of the update.
       (D) Lands identified as having higher or highest resource 
     value in the Conservation Values Assessment portion of the 
     update.
       (d) Non-Federal Share Requirement.--The Federal share of 
     the cost of carrying out a land conservation partnership 
     project under this section shall not exceed 50 percent of the 
     total cost of the land conservation partnership project.
       (e) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary of the Interior from the 
     general funds of the Treasury or the Land and Water 
     Conservation Fund to carry out this section $10,000,000 for 
     each of the fiscal years 2005 through 2014. Amounts 
     appropriated pursuant to this authorization of appropriations 
     shall remain available until expended.

     SEC. 1006. FOREST SERVICE AND USDA PROGRAMS IN THE HIGHLANDS 
                   REGION.

       (a) In General.--In order to meet the land resource goals 
     of, and the scientific and conservation challenges identified 
     in, the study, update, and any future study that the Forest 
     Service may undertake in the Highlands region, the Secretary 
     of Agriculture, acting through the Chief of the Forest 
     Service and in consultation with the Chief of the Natural 
     Resource Conservation Service, shall continue to assist the 
     Highlands States, local units of government, and private 
     forest and farm landowners in the conservation of lands and 
     natural resources in the Highlands region.
       (b) Duties.--The Forest Service shall--
       (1) in consultation with the Highlands States, undertake 
     other studies and research as appropriate in the Highlands 
     region consistent with the purposes of this title;
       (2) communicate the findings of the study and update and 
     maintain a public dialogue regarding implementation of the 
     study and update; and
       (3) assist the Highland States, local units of government, 
     individual landowners, and private organizations in 
     identifying and using Forest Service and other technical and 
     financial assistance programs of the Department of 
     Agriculture.
       (c) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary of Agriculture to carry 
     out this section $1,000,000 for each of the fiscal years 2005 
     through 2014.

     SEC. 1007. PRIVATE PROPERTY PROTECTION AND LACK OF REGULATORY 
                   EFFECT.

       (a) Access to Private Property.--Nothing in this title 
     shall be construed to--
       (1) require any private property owner to permit public 
     access (including Federal, State, or local government access) 
     to such private property; and
       (2) modify any provision of Federal, State, or local law 
     with regard to public access to or use of private lands.
       (b) Liability.--Nothing in this title shall be construed to 
     create any liability, or to have any effect on any liability 
     under any other law, of any private property owner with 
     respect to any persons injured on such private property.
       (c) Recognition of Authority to Control Land Use.--Nothing 
     in this title shall be construed to modify any authority of 
     Federal, State, or local governments to regulate land use.
       (d) Participation of Private Property Owners.--Nothing in 
     this title shall be construed to require the owner of any 
     private property located in the Highlands region to 
     participate in the land conservation, financial, or technical 
     assistance or any other programs established under this 
     title.
       (e) Purchase of Lands or Interests in Lands From Willing 
     Sellers Only.--Funds appropriated to carry out this title 
     shall be used to purchase lands or interests in lands only 
     from willing sellers.

                   TITLE XI--MISCELLANEOUS PROVISIONS

     SEC. 1101. FOREST INVENTORY AND MANAGEMENT.

       Section 17 of the Cooperative Forestry Assistance Act of 
     1978 (16 U.S.C. 2101 note; Public Law 95313) is amended to 
     read as follows:

     ``SEC. 17. FOREST INVENTORY AND MANAGEMENT.

       ``(a) In General.--The Secretary shall carry out a program 
     using geospatial and information management technologies 
     (including remote sensing imaging and decision support 
     systems) to inventory, monitor, characterize, assess, and 
     identify forest stands and potential forest stands on--
       ``(1) units of the National Forest System; and
       ``(2) private forest land, with the consent of the owner of 
     the land.
       ``(b) Means.--The Secretary shall carry out the program 
     through the use of--
       ``(1) remote sensing technology of the National Aeronautics 
     and Space Administration and the United States Geological 
     Survey;
       ``(2) emerging geospatial capabilities in research 
     activities;
       ``(3) validating techniques, including coordination and 
     reconciliation with existing data through field verification, 
     using application demonstrations; and
       ``(4) integration of results into pilot operational 
     systems.
       ``(c) Issues To Be Addressed.--In carrying out the program, 
     the Secretary shall address issues including--
       ``(1) early detection, identification, and assessment of 
     environmental threats (including insect, disease, invasive 
     species, fire, acid deposition, and weather-related risks and 
     other episodic events);
       ``(2) loss or degradation of forests;
       ``(3) degradation of the quality forest stands caused by 
     inadequate forest regeneration practices;
       ``(4) quantification of carbon uptake rates;
       ``(5) management practices that focus on preventing further 
     forest degradation; and
       ``(6) characterization of vegetation types, density, fire 
     regimes, post-fire effects, and condition class.
       ``(d) Early Warning System.--In carrying out the program, 
     the Secretary shall develop a comprehensive early warning 
     system for potential catastrophic environmental threats to 
     forests to increase the likelihood that forest managers will 
     be able to--
       ``(1) isolate and treat a threat before the threat gets out 
     of control; and
       ``(2) prevent epidemics, such as the American chestnut 
     blight in the first half of the twentieth century, that could 
     be environmentally and economically devastating to forests.
       ``(e) Administration.--To carry out this section, the 
     Secretary shall--
       ``(1) designate a facility within Forest Service Region 8 
     that--
       ``(A) is best-suited to take advantage of existing 
     resources to coordinate and carry out the program through the 
     means described in subsection (b); and
       ``(B) will address the issues described in subsection (c), 
     with a particular emphasis on hardwood forest stands in the 
     Eastern United States; and
       ``(2) designate a facility in the Ochoco National Forest 
     headquarters within Forest Service Region 6 that will address 
     the issues described in subsection (c), with a particular 
     emphasis on coniferous forest stands in the Western United 
     States.

[[Page 26983]]

       ``(f) Authorization of Appropriations.--There are 
     authorized to be appropriated such sums as are necessary to 
     carry out this section.''.

     SEC. 1102. PROGRAM FOR EMERGENCY TREATMENT AND REDUCTION OF 
                   NONNATIVE INVASIVE PLANTS.

       (a) Definitions.--In this section:
       (1) Interface community.--The term ``interface community'' 
     has the meaning given the term in the notice published at 66 
     Fed. Reg. 751 (January 4, 2001) (including any subsequent 
     revision to the notice).
       (2) Intermix community.--The term ``intermix community'' 
     has the meaning given the term in the notice published at 66 
     Fed. Reg. 751 (January 4, 2001) (including any subsequent 
     revision to the notice).
       (3) Plant.--The term ``plant'' includes--
       (A) a tree;
       (B) a shrub; and
       (C) a vine.
       (4) Program.--The term ``program'' means the program for 
     emergency treatment and reduction of nonnative invasive 
     plants established under subsection (b)(1).
       (5) Secretaries.--The term ``Secretaries'' means the 
     Secretary of Agriculture and the Secretary of the Interior, 
     acting jointly.
       (b) Establishment.--
       (1) In general.--The Secretaries shall establish a program 
     for emergency treatment and reduction of nonnative invasive 
     plants to provide to State and local governments and 
     agencies, conservation districts, tribal governments, and 
     willing private landowners grants for use in carrying out 
     hazardous fuel reduction projects to address threats of 
     catastrophic fires that have been determined by the 
     Secretaries to pose a serious threat to--
       (A) property;
       (B) human life; or
       (C) the ecological stability of an area.
       (2) Coordination.--In carrying out the program, the 
     Secretaries shall coordinate with such Federal agencies, 
     State and local governments and agencies, and conservation 
     districts as are affected by projects under the program.
       (c) Eligible Land.--A project under the program shall--
       (1) be carried out only on land that is located--
       (A) in an interface community or intermix community; or
       (B) in such proximity to an interface community or intermix 
     community as would pose a significant risk in the event of 
     the spread of a fire disturbance event from the land 
     (including a risk that would threaten human life or property 
     in proximity to or within the interface community or intermix 
     community), as determined by the Secretaries;
       (2) remove fuel loads determined by the Secretaries, a 
     State or local government, a tribal government, or a private 
     landowner to pose a serious threat to--
       (A) property;
       (B) human life; or
       (C) the ecological stability of an area; and
       (3) involve the removal of nonnative invasive plants.
       (d) Use of Funds.--Funds made available for a project under 
     the program shall be used only for--
       (1) the removal of plants or other potential fuels that 
     are--
       (A) adjacent to or within the wildland urban interface; or
       (B) adjacent to a municipal watershed, river, or water 
     course;
       (2) the removal of erosion structures that impede the 
     removal of nonnative plants; or
       (3) the replanting of native vegetation to reduce the 
     reestablishment of nonnative invasive plants in a treatment 
     area.
       (e) Revolving Fund.--
       (1) In general.--In the case of a grant provided to a 
     willing owner to carry out a project on non-Federal land 
     under this section, the owner shall deposit into a revolving 
     fund established by the Secretaries any proceeds derived from 
     the sale of timber or biomass removed from the non-Federal 
     land under the project.
       (2) Use.--The Secretaries shall use amounts in the 
     revolving fund to make additional grants under this section.
       (f) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section, to remain available until expended.

     SEC. 1103. USDA NATIONAL AGROFORESTRY CENTER.

       (a) In General.--Section 1243 of the Food, Agriculture, 
     Conservation, and Trade Act of 1990 (16 U.S.C. 1642 note; 
     Public Law 101-624) is amended--
       (1) by striking the section heading and inserting the 
     following:

     ``SEC. 1243. USDA NATIONAL AGROFORESTRY CENTER.'';

     and
       (2) in subsection (a)--
       (A) by striking ``Semiarid'' and inserting ``USDA 
     National''; and
       (B) by striking ``Semiarid'' and inserting ``USDA 
     National''.
       (b) Program.--Section 1243(b) of the Food, Agriculture, 
     Conservation, and Trade Act of 1990 (16 U.S.C. 1642 note; 
     Public Law 101-624) is amended--
       (1) by inserting ``local governments, community 
     organizations, the Institute of Tropical Forestry and the 
     Institute of Pacific Islands Forestry of the Forest 
     Service,'' after ``entities,'';
       (2) in paragraph (1), by striking ``on semiarid lands'';
       (3) in paragraph (3), by striking ``from semiarid land'';
       (4) by striking paragraph (4) and inserting the following:
       ``(4) collect information on the design, installation, and 
     function of forested riparian and upland buffers to--
       ``(A) protect water quality; and
       ``(B) manage water flow;'';
       (5) in paragraphs (6) and (7), by striking ``on semiarid 
     lands'' each place it appears;
       (6) by striking paragraph (8) and inserting the following:
       ``(8) provide international leadership in the worldwide 
     development and exchange of agroforestry practices;'';
       (7) in paragraph (9), by striking ``on semiarid lands'';
       (8) in paragraph (10), by striking ``and'' at the end;
       (9) in paragraph (11), by striking the period at the end 
     and inserting a semicolon; and
       (10) by adding at the end the following:
       ``(12) quantify the carbon storage potential of 
     agroforestry practices such as--
       ``(A) windbreaks;
       ``(B) forested riparian buffers;
       ``(C) silvopasture timber and grazing systems; and
       ``(D) alley cropping; and
       ``(13) modify and adapt riparian forest buffer technology 
     used on agricultural land for use by communities to manage 
     stormwater runoff.''.

     SEC. 1104. UPLAND HARDWOODS RESEARCH CENTER.

       (a) In General.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary of Agriculture shall 
     establish an Upland Hardwood Research Center.
       (b) Location.--The Secretary of Agriculture shall locate 
     the Research Center in an area that, as determined by the 
     Secretary of Agriculture, would best use and study the upland 
     hardwood resources of the Ozark Mountains and the South.
       (c) Duties.--The Upland Hardwood Research Center shall, in 
     conjunction with the Southern Forest Research Station of the 
     Department of Agriculture--
       (1) provide the scientific basis for sustainable management 
     of southern upland hardwood forests, particularly in the 
     Ozark Mountains and associated mountain and upland forests; 
     and
       (2) conduct research in all areas to emphasize practical 
     application toward the use and preservation of upland 
     hardwood forests, particularly--
       (A) the effects of pests and pathogens on upland hardwoods;
       (B) hardwood stand regeneration and reproductive biology;
       (C) upland hardwood stand management and forest health;
       (D) threatened, endangered, and sensitive aquatic and 
     terrestrial fauna;
       (E) ecological processes and hardwood ecosystem 
     restoration; and
       (F) education and outreach to nonindustrial private forest 
     landowners and associations.
       (d) Research.--In carrying out the duties under subsection 
     (c), the Upland Hardwood Research Center shall--
       (1) cooperate with the Center for Bottomland Hardwood 
     Research of the Southern Forest Research Station of the 
     Department of Agriculture, located in Stoneville, 
     Mississippi; and
       (2) provide comprehensive research in the Mid-South region 
     of the United States, the Upland Forests Ecosystems Unit of 
     the Southern Forest Research Station of the Department of 
     Agriculture, located in Monticello, Arkansas.
       (e) Participation of Private Landowners.--The Secretary of 
     Agriculture shall encourage and facilitate the participation 
     of private landowners in the program under this section.
       (f) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $2,500,000 for 
     each fiscal year.

     SEC. 1105. EMERGENCY FUEL REDUCTION GRANTS.

       (a) In General.--The Secretary of Agriculture shall 
     establish an emergency fuel reduction grant program under 
     which the Secretary shall provide grants to State and local 
     agencies to carry out hazardous fuel reduction projects 
     addressing threats of catastrophic fire that pose a serious 
     threat to human life, as determined by the Forest Service.
       (b) Eligible Projects.--To be eligible to be carried out 
     with a grant under the program, a hazardous fuel reduction 
     project shall--
       (1) be surrounded by or immediately adjacent to the 
     boundary of a national forest;
       (2) be determined to be of paramount urgency, as indicated 
     by declarations to that effect by both local officials and 
     the Governor of the State in which in the project is to be 
     carried out; and
       (3) remove fuel loading that poses a serious threat to 
     human life, as determined by the Forest Service.
       (c) Uses of Grants.--A grant under the program may be used 
     only--

[[Page 26984]]

       (1) to remove trees, shrubs, or other potential fuel 
     adjacent to a primary evacuation route;
       (2) to remove trees, shrubs, or other potential fuel that 
     are adjacent to an emergency response center, emergency 
     communication facility, or site designated as a shelter-in-
     place facility; or
       (3) to conduct an evacuation drill or preparation.
       (d) Revolving Fund.--
       (1) In general.--In the case of a grant under the program 
     that is used to carry out a project on private or county 
     land, the grant recipient shall deposit in a revolving fund 
     maintained by the Secretary any proceeds from the sale of 
     timber or biomass as a result of the project.
       (2) Use.--The Secretary shall use amounts in the revolving 
     fund to make other grants under this section, without further 
     appropriation.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary of Agriculture to carry 
     out this section $50,000,000 for each fiscal year.

     SEC. 1106. EASTERN NEVADA LANDSCAPE COALITION.

       (a) In General.--(1) The Secretary of Agriculture and the 
     Secretary of the Interior are authorized to make grants to 
     the Eastern Nevada Landscape Coalition for the study and 
     restoration of rangeland and other lands in Nevada's Great 
     Basin in order to help assure the reduction of hazardous 
     fuels and for related purposes.
       (2) Notwithstanding sections 6301 through 6308 of title 31, 
     United States Code, the Director of the Bureau of Land 
     Management shall enter into a cooperative agreement with the 
     Eastern Nevada Landscape Coalition for the Great Basin 
     Restoration Project, including hazardous fuels and mechanical 
     treatments and related work.
       (b) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.

     SEC. 1107. SENSE OF CONGRESS REGARDING ENHANCED COMMUNITY 
                   FIRE PROTECTION.

       It is the sense of Congress to reaffirm the importance of 
     enhanced community fire protection program, as described in 
     section 10A of the Cooperative Forestry Assistance Act of 
     1978 (16 U.S.C. 2106c) (as added by section 8003(b) of the 
     Farm Security and Rural Investment Act of 2002 (Public Law 
     107-171; 116 Stat. 473)).

     SEC. 1108. COLLABORATIVE MONITORING.

       (a) In General.--The Secretaries shall establish a 
     collaborative monitoring, evaluation, and accountability 
     process in order to assess the positive or negative 
     ecological and social effects of a representative sampling of 
     projects implemented pursuant to title I and section 404 of 
     this Act. The Secretaries shall include diverse stakeholders, 
     including interested citizens and Indian tribes, in the 
     monitoring and evaluation process.
       (b) Means.--The Secretaries may collect monitoring data 
     using cooperative agreements, grants or contracts with small 
     or micro-businesses, cooperatives, nonprofit organizations, 
     Youth Conservation Corps work crews or related partnerships 
     with State, local, and other non-Federal conservation corps.
       (c) Funds.--Funds to implement this section shall be 
     derived from hazardous fuels operations funds.

     SEC. 1109. BEST-VALUE CONTRACTING.

        To conduct a project under this division, the Secretaries 
     may use best value contracting criteria in awarding contracts 
     and agreements. Best-value contracting criteria includes--
       (1) the ability of the contractor to meet the ecological 
     goals of the projects;
       (2) the use of equipment that will minimize or eliminate 
     impacts on soils; and
       (3) benefits to local communities such as ensuring that the 
     byproducts are processed locally.

     SEC. 1110. SUBURBAN AND COMMUNITY FORESTRY AND OPEN SPACE 
                   PROGRAM; FOREST LEGACY PROGRAM.

       (a) Suburban and Community Forestry and Open Space 
     Program.--The Cooperative Forestry Assistance Act of 1978 (16 
     U.S.C. 2101 et seq.) is amended by adding at the end the 
     following:

     ``SEC. 21. SUBURBAN AND COMMUNITY FORESTRY AND OPEN SPACE 
                   PROGRAM.

       ``(a) Definitions.--In this section:
       ``(1) Committee.--The term `Committee' means a State Forest 
     Stewardship Coordinating Committee established under section 
     19(b).
       ``(2) Eligible entity.--The term `eligible entity' means a 
     unit of local government or a nonprofit organization that--
       ``(A) the Secretary determines, in accordance with the 
     criteria established under subsection (c)(1)(A)(ii)(II) is 
     eligible to receive a grant under subsection (c)(2); and
       ``(B) the State forester, in consultation with the 
     Committee, determines--
       ``(i) has the abilities necessary to acquire and manage 
     interests in real property; and
       ``(ii) has the resources necessary to monitor and enforce 
     any terms applicable to the eligible project.
       ``(3) Eligible project.--The term `eligible project' means 
     a fee purchase, easement, or donation of land to conserve 
     private forest land identified for conservation under 
     subsection (c)(1)(A)(ii)(I).
       ``(4) Indian tribe.--The term `Indian tribe' has the 
     meaning given the term in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).
       ``(5) Nonprofit organization.--The term `nonprofit 
     organization' means any organization that is--
       ``(A) described in section 501(c) of the Internal Revenue 
     Code of 1986; and
       ``(B) exempt from taxation under 501(a) of the Internal 
     Revenue Code of 1986.
       ``(6) Private forest land.--The term `private forest land' 
     means land that is--
       ``(A) capable of producing commercial forest products; and
       ``(B) owned by--
       ``(i) a private entity; or
       ``(ii) an Indian tribe.
       ``(7) Program.--The term `program' means the Suburban and 
     Community Forestry and Open Space Program established by 
     subsection (b).
       ``(8) Secretary.--The term `Secretary' means the Secretary 
     of Agriculture, acting through the Chief of the Forest 
     Service.
       ``(b) Establishment.--
       ``(1) In general.--There is established within the Forest 
     Service a program to be known as the `Suburban and Community 
     Forestry and Open Space Program'.
       ``(2) Purpose.--The purpose of the program is to provide 
     assistance to eligible entities to carry out eligible 
     projects in States in which less than 25 percent of the land 
     is owned by the United States to--
       ``(A) conserve private forest land and maintain working 
     forests in areas threatened by significant suburban sprawl or 
     by conversion to nonforest uses; and
       ``(B) provide communities a means by which to address 
     significant suburban sprawl.
       ``(c) Grant Program.--
       ``(1) Identification of eligible private forest land.--
       ``(A) Criteria.--
       ``(i) National criteria.--The Secretary shall establish 
     national eligibility criteria for the identification of 
     private forest land that may be conserved under this section.
       ``(ii) State criteria.--The State forester, in consultation 
     with the Committee, shall, based on the criteria established 
     under clause (i), and subject to the approval of the 
     Secretary, establish criteria for--

       ``(I) the identification, subject to subparagraph (B), of 
     private forest land in each State that may be conserved under 
     this section; and
       ``(II) the identification of eligible entities.

       ``(B) Conditions for eligible private forest land.--Private 
     forest land identified for conservation under subparagraph 
     (A)(ii)(I) shall be land that--
       ``(i) is located in a State in which less than 25 percent 
     of the land is owned by the United States; and
       ``(ii) as determined by the State forester, in consultation 
     with the Committee and subject to the approval of the 
     Secretary--

       ``(I) is located in an area that is affected, or threatened 
     to be affected, by significant suburban sprawl, taking into 
     account housing needs in the area; and
       ``(II) is threatened by present or future conversion to 
     nonforest use.

       ``(2) Grants.--
       ``(A) Eligible projects.--
       ``(i) In general.--In carrying out this section, the 
     Secretary shall award competitive grants to eligible entities 
     to carry out eligible projects.
       ``(ii) Public access.--Eligible entities are encouraged to 
     provide public access to land on which an eligible project is 
     carried out.
       ``(B) Application; stewardship plan.--An eligible entity 
     that seeks to receive a grant under this section shall submit 
     to the State forester--
       ``(i) at such time and in such form as the Secretary shall 
     prescribe, an application for the grant (including a 
     description of any private forest land to be conserved using 
     funds from the grant and a description of the extent of the 
     threat of conversion to nonforest use); and
       ``(ii) a stewardship plan that describes the manner in 
     which--

       ``(I) any private forest land to be conserved using funds 
     from the grant will be managed in accordance with this 
     section;
       ``(II) the stewardship plan will be implemented; and
       ``(III) the public benefits to be achieved from 
     implementation of the stewardship plan.

       ``(C) Assessment of need.--With respect to an application 
     submitted under subparagraph (B), the State forester shall--
       ``(i) assess the need for preserving suburban forest land 
     and open space and containing suburban sprawl in the State, 
     taking into account the housing needs of the area in which 
     the eligible project is to be carried out; and
       ``(ii) submit to the Secretary--

       ``(I) the application submitted under subparagraph (B); and
       ``(II) the assessment of need.

       ``(D) Approval or disapproval.--
       ``(i) In general.--Subject to clause (ii), as soon as 
     practicable after the date on which the Secretary receives an 
     application under

[[Page 26985]]

     subparagraph (C)(ii) or a resubmission under subclause 
     (II)(bb)(BB), the Secretary shall--

       ``(I) review the application; and
       ``(II)(aa) award a grant to the applicant; or
       ``(bb)(AA) disapprove the application; and
       ``(BB) provide the applicant a statement that describes the 
     reasons why the application was disapproved (including a 
     deadline by which the applicant may resubmit the 
     application).

       ``(ii) Considerations; priority.--In awarding grants under 
     this section, the Secretary shall--

       ``(I) consider the need for the eligible project based on 
     the assessment of need submitted under subparagraph (C) and 
     subject to any criteria under paragraph (1); and
       ``(II) give priority to applicants that propose to fund 
     eligible projects that promote--

       ``(aa) the preservation of suburban forest land and open 
     space;
       ``(bb) the containment of suburban sprawl;
       ``(cc) the sustainable management of private forest land;
       ``(dd) community involvement in determining the objectives 
     for eligible projects that are funded under this section; and
       ``(ee) community and school education programs and 
     curricula relating to sustainable forestry.
       ``(3) Cost sharing.--
       ``(A) In general.--The amount of a grant awarded under this 
     section to carry out an eligible project shall not exceed 50 
     percent of the total cost of the eligible project.
       ``(B) Assurances.--As a condition of receipt of a grant 
     under this section, an eligible entity shall provide to the 
     Secretary such assurances as the Secretary determines are 
     sufficient to demonstrate that the share of the cost of each 
     eligible project that is not funded by the grant awarded 
     under this section has been secured.
       ``(C) Form.--The share of the cost of carrying out any 
     eligible project described in subparagraph (A) that is not 
     funded by a grant awarded under this section may be provided 
     in cash or in kind (including a donation of land).
       ``(d) Use of Grant Funds for Purchases of Land or 
     Easements.--
       ``(1) Purchases.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     funds made available, and grants awarded, under this section 
     may be used to purchase private forest land or interests in 
     private forest land (including conservation easements) only 
     from willing sellers at fair market value.
       ``(B) Sales at less than fair market value.--A sale of 
     private forest land or an interest in private forest land at 
     less than fair market value shall be permitted only on 
     certification by the landowner that the sale is being entered 
     into willingly and without coercion.
       ``(2) Title.--Title to private forest land or an interest 
     in private forest land purchased under paragraph (1) may be 
     held, as determined appropriate by the Secretary, by--
       ``(A) a State;
       ``(B) a unit of local government; or
       ``(C) a nonprofit organization.
       ``(3) Termination of easement.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     all right, title, and interest of a unit of local government 
     or nonprofit organization in and to a conservation easement 
     shall terminate and vest in the State if the State determines 
     that--
       ``(i) the unit of local government or nonprofit 
     organization is unable or unwilling to enforce the terms of 
     the conservation easement; or
       ``(ii) the conservation easement has been modified in a way 
     that is inconsistent with the purposes of the program.
       ``(B) Conveyance to another unit of local government or 
     nonprofit organization.--If the State makes a determination 
     under subparagraph (A), the State may convey or authorize the 
     unit of local government or nonprofit organization to convey 
     the conservation easement to another unit of local government 
     or nonprofit organization.
       ``(e) Administrative Costs.--The State, on approval of the 
     Secretary and subject to any regulations promulgated by the 
     Secretary, may use amounts made available under subsection 
     (g) to pay the administrative costs of the State relating to 
     the program.
       ``(f) Report.--The Secretary shall submit to Congress a 
     report on the eligible projects carried out under this 
     section in accordance with section 8(c) of the Forest and 
     Rangeland Renewable Resources Planning Act of 1974 (16 U.S.C. 
     1606(c)).
       ``(g) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section--
       ``(1) $50,000,000 for fiscal year 2004; and
       ``(2) such sums as are necessary for each fiscal year 
     thereafter.''.
       (b) Forest Legacy Program.--Section 7 of the Cooperative 
     Forestry Assistance Act of 1978 (16 U.S.C. 2103c) is 
     amended--
       (1) in subsection (c), by striking the last sentence;
       (2) in subsection (i), by striking ``subsection (b)'' and 
     inserting ``this section'';
       (3) in subsection (j)(1), by inserting ``(other than by 
     donation)'' after ``acquired'';
       (4) in subsection (k)(2), by striking ``the United States 
     or its'' and inserting ``the United States, a State, or other 
     entity, or their''; and
       (5) in subsection (l), by adding at the end the following:
       ``(3) State authorization.--
       ``(A) Definition of state forester.--The term `State 
     forester' has the meaning given the term in section 4(k).
       ``(B) In general.--Notwithstanding subsection (c) and 
     paragraph (2)(B), the Secretary shall, on request by a State, 
     authorize the State to allow a qualified organization (as 
     defined in section 170(h)(3) of the Internal Revenue Code of 
     1986) and that is organized for at least 1 of the purposes 
     described in section 170(h)(4)(A) of that Code, using amounts 
     granted to a State under this paragraph, to acquire 1 or more 
     conservation easements to carry out the Forest Legacy Program 
     in the State.
       ``(C) Eligibility.--To be eligible to acquire and manage 
     conservation easements under this paragraph, a qualified 
     organization described in subparagraph (B) shall, as 
     determined by the Secretary, acting through the State 
     forester, demonstrate the abilities necessary to acquire, 
     monitor, and enforce interests in forest land consistent with 
     the Forest Legacy Program and the assessment of need for the 
     State.
       ``(D) Monitoring and enforcement.--
       ``(i) In general.--A qualified organization that acquires a 
     conservation easement under this paragraph shall be 
     responsible for monitoring and enforcing the terms of the 
     conservation easement and any of the costs of the qualified 
     organization associated with such monitoring and enforcement.
       ``(ii) Contingent rights.--If a qualified organization that 
     acquires a conservation easement under this paragraph fails 
     to enforce the terms of the conservation easement, as 
     determined by the State, the State or the Secretary shall 
     have the right to enforce the terms of the conservation 
     easement under Federal or State law.
       ``(iii) Amendments.--Any amendments to a conservation 
     easement that materially affect the terms of the conservation 
     easement shall be subject to approval by the Secretary or the 
     State, as appropriate.
       ``(E) Termination of easement.--
       ``(i) In general.--Except as provided in clause (ii), all 
     right, title, and interest of a qualified organization 
     described in subparagraph (B) in and to a conservation 
     easement shall terminate and vest in the State or a qualified 
     designee if the State determines that--

       ``(I) the qualified organization fails to enforce the terms 
     of the conservation easement;
       ``(II) the conservation easement has been modified in a way 
     that is inconsistent with the purposes of the Forest Legacy 
     Program or the assessment of need for the State; or
       ``(III) the conservation easement has been conveyed to 
     another person (other than to a qualified organization).

       ``(ii) Conveyance to another qualified organization.--If 
     the State makes a determination under clause (i), the State 
     may convey or authorize the qualified organization to convey 
     the conservation easement to another qualified organization.
       ``(F) Implementation.--The Secretary, acting through the 
     State forester, shall implement this paragraph in accordance 
     with the assessment of need for the State as approved by the 
     Secretary.''.

     SEC. 1111. WILDLAND FIREFIGHTER SAFETY.

       (a) Definition of Secretary.--In this section, the term 
     ``Secretary'' means--
       (1) the Secretary of Agriculture, with respect to land of 
     the National Forest System described in section 3(1)(A); and
       (2) the Secretary of the Interior, with respect to public 
     lands described in section 3(1)(B).
       (b) Firefighter Safety and Training Budget.--The Secretary 
     shall--
       (1) track funds expended for firefighter safety and 
     training programs and activities; and
       (2) include a line item for such expenditures in each 
     budget request submitted after the date of enactment of this 
     Act.
       (c) Annual Report to Congress.--The Secretaries shall, on 
     an annual basis, jointly submit to Congress a report on the 
     implementation and efficacy of wildland firefighter safety 
     and training programs and activities.--
       (d) Safety Qualification of Private Contractors.--
       (1) In general.--The Secretaries shall ensure that any 
     Federal contract or agreement entered into with a private 
     entity for wildland firefighting services requires the entity 
     to provide firefighter training that is consistent with 
     qualification standards established by the National Wildfire 
     Coordinating Group.
       (2) Compliance.--The Secretaries shall develop a program to 
     monitor and enforce compliance with the requirements of 
     paragraph (1).

     SEC. 1112. GREEN MOUNTAIN NATIONAL FOREST BOUNDARY 
                   ADJUSTMENT.

       (a) In General.--The boundaries of the Green Mountain 
     National Forest are modified to include all parcels of land 
     depicted on the forest maps entitled ``Green Mountain 
     Expansion Area Map I'' and ``Green Mountain Expansion Area 
     Map II'', each dated February 20, 2002, which shall be on 
     file and available for public inspection in the Office of the 
     Chief of the Forest Service, Washington, District of 
     Columbia.

[[Page 26986]]

       (b) Management.--Federally owned land delineated on the 
     maps acquired for National Forest purposes shall continue to 
     be managed in accordance with the laws (including 
     regulations) applicable to the National Forest System.
       (c) Land and Water Conservation Fund.--For the purposes of 
     section 7 of the Land and Water Conservation Fund Act of 1965 
     (16 U.S.C. 460-9), the boundaries of the Green Mountain 
     National Forest, as adjusted by this division, shall be 
     considered to be the boundaries of the national forest as of 
     January 1, 1965.

     SEC. 1113. PUERTO RICO KARST CONSERVATION.

       (a) Short Title.--This section may be cited as the ``Puerto 
     Rico Karst Conservation Act of 2003''.
       (b) Findings.--Congress finds that--
       (1) in the Karst Region of the Commonwealth of Puerto Rico 
     there are--
       (A) some of the largest areas of tropical forests in Puerto 
     Rico, with a higher density of tree species than any other 
     area in the Commonwealth; and
       (B) unique geological formations that are critical to the 
     maintenance of aquifers and watersheds that constitute a 
     principal water supply for much of the Commonwealth;
       (2) the Karst Region is threatened by development that, if 
     unchecked, could permanently damage the aquifers and cause 
     irreparable damage to natural and environmental assets that 
     are unique to the United States;
       (3) the Commonwealth has 1 of the highest population 
     densities in the United States, which makes the protection of 
     the Karst Region imperative for the maintenance of the public 
     health and welfare of the citizens of the Commonwealth;
       (4) the Karst Region--
       (A) possesses extraordinary ecological diversity, including 
     the habitats of several endangered and threatened species and 
     tropical migrants; and
       (B) is an area of critical value to research in tropical 
     forest management; and
       (5) coordinated efforts at land protection by the Federal 
     Government and the Commonwealth are necessary to conserve the 
     environmentally critical Karst Region.
       (c) Purposes.--The purposes of this section are--
       (1) to authorize and support conservation efforts to 
     acquire, manage, and protect the tropical forest areas of the 
     Karst Region, with particular emphasis on water quality and 
     the protection of the aquifers that are vital to the health 
     and wellbeing of the citizens of the Commonwealth; and
       (2) to promote cooperation among the Commonwealth, Federal 
     agencies, corporations, organizations, and individuals in 
     those conservation efforts.
       (d) Definitions.--In this section:
       (1) Commonwealth.--The term ``Commonwealth'' means the 
     Commonwealth of Puerto Rico.
       (2) Forest legacy program.--The term ``Forest Legacy 
     Program'' means the program established under section 7 of 
     the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 
     2103c).
       (3) Fund.--The term ``Fund'' means the Puerto Rico Karst 
     Conservation Fund established by subsection (f).
       (4) Karst region.--The term ``Karst Region'' means the 
     areas in the Commonwealth generally depicted on the map 
     entitled ``Karst Region Conservation Area'' and dated March 
     2001, which shall be on file and available for public 
     inspection in--
       (A) the Office of the Secretary, Puerto Rico Department of 
     Natural and Environmental Resources; and
       (B) the Office of the Chief of the Forest Service.
       (5) Land.--The term ``land'' includes land, water, and an 
     interest in land or water.
       (6) Secretary.--The term ``Secretary'' means the Secretary 
     of Agriculture.
       (e) Conservation of the Karst Region.--
       (1) Federal cooperation and assistance.--In furtherance of 
     the acquisition, protection, and management of land in and 
     adjacent to the Karst Region and in implementing related 
     natural resource conservation strategies, the Secretary may--
       (A) make grants to and enter into contracts and cooperative 
     agreements with the Commonwealth, other Federal agencies, 
     organizations, corporations, and individuals; and
       (B) use all authorities available to the Secretary, 
     including--
       (i) the Forest and Rangeland Renewable Resources Research 
     Act of 1978 (16 U.S.C. 1641 et seq.);
       (ii) section 1472 of the National Agricultural Research, 
     Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3318); 
     and
       (iii) section 12 of the Stevenson-Wydler Technology 
     Innovation Act of 1980 (15 U.S.C. 3710a).
       (2) Funding sources.--The activities authorized by this 
     subsection may be carried out using--
       (A) amounts in the Fund;
       (B) amounts in the fund established by section 4(b) of the 
     Forest and Rangeland Renewable Resources Research Act of 1978 
     (16 U.S.C. 1643(b));
       (C) funds appropriated from the Land and Water Conservation 
     Fund;
       (D) funds appropriated for the Forest Legacy Program; and
       (E) any other funds made available for those activities.
       (3) Management.--
       (A) In general.--Land acquired under this subsection shall 
     be managed, in accordance with the Forest and Rangeland 
     Renewable Resources Research Act of 1978 (16 U.S.C. 1641 et 
     seq.), in a manner to protect and conserve the water quality 
     and aquifers and the geological, ecological, fish and 
     wildlife, and other natural values of the Karst Region.
       (B) Failure to manage as required.--In any deed, grant, 
     contract, or cooperative agreement implementing this 
     subsection and the Forest Legacy Program in the Commonwealth, 
     the Secretary may require that, if land acquired by the 
     Commonwealth or other cooperating entity under this section 
     is sold or conveyed in whole or part, or is not managed in 
     conformity with subparagraph (A), title to the land shall, at 
     the discretion of the Secretary, vest in the United States.
       (4) Willing sellers.--Any land acquired by the Secretary in 
     the Karst Region shall be acquired only from a willing 
     seller.
       (5) Relation to other authorities.--Nothing in this 
     subsection--
       (A) diminishes any other authority that the Secretary may 
     have to acquire, protect, and manage land and natural 
     resources in the Commonwealth; or
       (B) exempts the Federal Government from Commonwealth water 
     laws.
       (f) Puerto Rico Karst Conservation Fund.--
       (1) Establishment.--There is established in the Treasury an 
     interest-bearing account to be known as the ``Puerto Rico 
     Karst Conservation Fund''.
       (2) Credits to fund.--There shall be credited to the Fund--
       (A) amounts appropriated to the Fund;
       (B) all amounts donated to the Fund;
       (C) all amounts generated from the Caribbean National 
     Forest that would, but for this paragraph, be deposited as 
     miscellaneous receipts in the Treasury of the United States, 
     but not including amounts authorized by law for payments to 
     the Commonwealth or authorized by law for retention by the 
     Secretary for any purpose;
       (D) all amounts received by the Administrator of General 
     Services from the disposal of surplus real property in the 
     Commonwealth under subtitle I of title 40, United States 
     Code; and
       (E) interest derived from amounts in the Fund.
       (3) Use of fund.--Amounts in the Fund shall be available to 
     the Secretary until expended, without further appropriation, 
     to carry out subsection (e).
       (g) Miscellaneous Provisions.--
       (1) Donations.--
       (A) In general.--The Secretary may accept donations, 
     including land and money, made by public and private 
     agencies, corporations, organizations, and individuals in 
     furtherance of the purposes of this subsection.
       (B) Conflicts of interest.--The Secretary may accept 
     donations even if the donor conducts business with or is 
     regulated by the Department of Agriculture or any other 
     Federal agency.
       (C) Applicable law.--Public Law 95-442 (7 U.S.C. 2269) 
     shall apply to donations accepted by the Secretary under this 
     paragraph.
       (2) Relation to forest legacy program.--
       (A) In general.--All land in the Karst Region shall be 
     eligible for inclusion in the Forest Legacy Program.
       (B) Cost sharing.--The Secretary may credit donations made 
     under paragraph (1) to satisfy any cost-sharing requirements 
     of the Forest Legacy Program.
       (h) Authorization of Appropriations.--
       There are authorized to be appropriated such sums as are 
     necessary to carry out this section.

     SEC. 1114. FARM SECURITY AND RURAL INVESTMENT ACT.

       Section 10806(b)(1) of the Farm Security and Rural 
     Investment Act of 2002 (21 U.S.C. 321d; 116 Stat. 526), is 
     deemed to have first become effective 15 days after the date 
     of the enactment of this Act.

     SEC. 1115. ENFORCEMENT OF ANIMAL FIGHTING PROHIBITIONS UNDER 
                   THE ANIMAL WELFARE ACT.

       (a) In General.--Section 26 of the Animal Welfare Act (7 
     U.S.C. 2156) is amended--
       (1) by redesignating subsections (c) through (h) as 
     subsections (d) through (i), respectively;
       (2) by inserting after subsection (b) the following:
       ``(c) Sharp Instruments.--It shall be unlawful for any 
     person to knowingly sell, buy, transport, or deliver in 
     interstate or foreign commerce a knife, a gaff, or any other 
     sharp instrument attached, or designed or intended to be 
     attached, to the leg of a bird for use in an animal fighting 
     venture.'';
       (3) in subsection (e) (as redesignated by paragraph (1)), 
     by striking ``(c)'' and inserting ``(d)'';
       (4) in subsection (f) (as redesignated by paragraph (1))--
       (A) by striking ``(a), (b), or (c)'' and inserting ``(a), 
     (b), (c), or (d)''; and
       (B) by striking ``1 year'' and inserting ``2 years'';
       (5) by striking subsection (g) (as redesignated by 
     paragraph (1)) and inserting the following:
       ``(g) Investigations.--

[[Page 26987]]

       ``(1) In general.--The Secretary or any person authorized 
     by the Secretary shall make such investigations as the 
     Secretary considers necessary to determine whether any person 
     has violated or is violating any provision of this section.
       ``(2) Assistance.--Through cooperative agreements, the 
     Secretary may obtain the assistance of the Federal Bureau of 
     Investigation, the Department of the Treasury, and other law 
     enforcement agencies of the United States and of State, 
     tribal, and local governmental agencies in the conduct of an 
     investigation under paragraph (1).
       ``(3) Warrants.--
       ``(A) Issuance.--A judge of the United States, United 
     States magistrate judge, or judge of a State or tribal court 
     of competent jurisdiction in the district in which is located 
     an animal, paraphernalia, instrument, or other property or 
     thing that there is probable cause to believe was involved, 
     is about to be involved, or is intended to be involved in a 
     violation of this section shall issue a warrant to search for 
     and seize the animal or other property or thing.
       ``(B) Application; execution.--A United States marshal or 
     any person authorized under this section to conduct an 
     investigation may apply for and execute a warrant issued 
     under subparagraph (A), and any animal, paraphernalia, 
     instrument, or other property or thing seized under such a 
     warrant shall be held by the authorized person pending 
     disposition of the animal, paraphernalia, instrument, or 
     other property or thing by a court in accordance with this 
     subsection.
       ``(4) Storage of animals.--
       ``(A) In general.--An animal seized by a United States 
     marshal or other authorized person under paragraph (3) shall 
     be taken promptly to an animal housing facility in which the 
     animal shall be stored humanely.
       ``(B) No facility available.--If there is not available a 
     suitable animal storage facility sufficient in size to hold 
     all of the animals involved in a violation, a United States 
     marshal or other authorized person shall--
       ``(i) seize a representative sample of the animals for 
     evidentiary purposes to be transported to an animal storage 
     facility in which the animals shall be stored humanely; and
       ``(ii)(I) keep the remaining animals at the location where 
     the animals were seized;
       ``(II) provide for the humane care of the animals; and
       ``(III) cause the animals to be banded, tagged, or marked 
     by microchip and photographed or videotaped for evidentiary 
     purposes.
       ``(5) Care.--While a seized animal is held in custody, a 
     United States marshal or other authorized person shall ensure 
     that the animal is provided necessary care (including 
     housing, feeding, and veterinary treatment).
       ``(6) Forfeiture.--
       ``(A) In general.--Any animal, paraphernalia, instrument, 
     vehicle, money, or other property or thing involved in a 
     violation of this section shall be liable to be proceeded 
     against and forfeited to the United States at any time on 
     complaint filed in any United States district court or other 
     court of the United States for any jurisdiction in which the 
     animal, paraphernalia, instrument, vehicle, money, or other 
     property or thing is found.
       ``(B) Disposition.--On entry of a judgment of forfeiture, a 
     forfeited animal shall be disposed of by humane means, as the 
     court may direct.
       ``(C) Costs.--Costs incurred by the United States for care 
     of an animal seized and forfeited under this section shall be 
     recoverable from the owner of the animal--
       ``(i) in the forfeiture proceeding, if the owner appears in 
     the forfeiture proceeding; or
       ``(ii) in a separate civil action brought in the 
     jurisdiction in which the owner is found, resides, or 
     transacts business.
       ``(D) Claim to property.--
       ``(i) In general.--The owner, custodian, or other person 
     claiming an interest in a seized animal may prevent 
     disposition of the animal by posting, or may be ordered by 
     any United States district court or other court of the United 
     States, or by any tribal court, for any jurisdiction in which 
     the animal is found to post, not later than 10 days after the 
     animal is seized, a bond with the court in an amount 
     sufficient to provide for the care of the animal (including 
     housing, feeding, and veterinary treatment) for not less than 
     30 days.
       ``(ii) Renewal.--The owner, custodian, or other person 
     claiming an interest in a seized animal may renew a bond, or 
     be ordered to renew a bond, by posting a new bond, in an 
     amount sufficient to provide for the care of the animal for 
     at least an additional 30 days, not later than 10 days after 
     the expiration of the period for which a previous bond was 
     posted.
       ``(iii) Disposition.--If a bond expires and is not renewed, 
     the animal may be disposed of as provided in subparagraph 
     (A).
       ``(7) Euthanization.--Notwithstanding paragraphs (1) 
     through (6), an animal may be humanely euthanized if a 
     veterinarian determines that the animal is suffering extreme 
     pain.''; and
                                 ______
                                 
  SA 2069. Mr. AKAKA submitted an amendment intended to be proposed by 
him to the bill S. 1753, to amend the Fair Credit Reporting Act in 
order to prevent identity theft, to improve the use of and consumer 
access to consumer reports, to enhance the accuracy of consumer 
reports, to limit the sharing of certain consumer information, to 
improve financial education and literacy, and for other purposes; which 
was ordered to lie on the table; as follows:

       On page 96, after line 25, insert the following:

     SEC. 519. THE NATIONAL PUBLIC SERVICE MULTIMEDIA CAMPAIGN TO 
                   ENHANCE THE STATE OF FINANCIAL LITERACY.

       (a) In general.--The Commission, as part of any national 
     strategy, shall develop, implement, and conduct a pilot 
     national public service multimedia campaign to enhance the 
     state of financial literacy and education in the United 
     States.
       (b) Program Requirements.--
       (1) Public service campaign.--The Commission shall select 
     and work with an organization that is especially well-
     qualified in the distribution of public service campaigns and 
     has secured private sector funds to produce the pilot 
     national public service multimedia campaign.
       (2) Development of multimedia campaign.--The Commission 
     shall develop, in consultation with nonprofit, public, or 
     private organizations, especially those that are well 
     qualified by virtue of their experience in the field of 
     financial literacy and education, to develop the financial 
     literacy national public service multimedia campaign.
       (3) Focus of campaign.--The pilot national public service 
     multimedia campaign shall be consistent with the national 
     strategy developed by the Commission.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Commission not to exceed $3,000,000 
     for fiscal years 2004, 2005, and 2006 for the development, 
     production, and distribution of a pilot national public 
     service multimedia campaign.
       (d) Performance Measures.--The Commission shall develop 
     measures to evaluate the effectiveness of the pilot national 
     public service multimedia campaign, as measured by improved 
     financial decision making among individuals.
       (e) Report.--For each fiscal year for which there are 
     appropriations pursuant to the authorization in subsection 
     (c), the Commission shall submit a report to the Committee on 
     Banking, Housing, and Urban Affairs and the Committee on 
     Appropriations of the Senate and the Committee on Financial 
     Services and the Committee on Appropriations of the House of 
     Representatives describing the status and implementation of 
     the provisions of this section and the state of financial 
     literacy in the United States.
                                 ______
                                 
  SA 2070. Mr. ALEXANDER submitted an amendment intended to be proposed 
by him to the bill S. 150, to make permanent the moratorium on taxes on 
Internet access and multiple and discriminatory taxes on electronic 
commerce imposed by the Internet Tax Freedom Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. REIMBURSEMENT OF LOST STATE REVENUE.

       (A) Report.--
       (1) OMB.--Not later than November 1 of each year, the 
     Director of Office of Management and Budget shall report to 
     the Secretary of the Treasury the State tax revenue amount 
     for each State and local government that was not received by 
     that State or local government during the most recent fiscal 
     year ending September 30 as a result of the Internet Tax 
     Freedom Act.
       (2) CBO.--Not later than November 5 of each year, the 
     Director of the Congressional Budget Office shall report to 
     Congress the information required by paragraph (1) and 
     include an explanation of any differences with the report 
     submitted under paragraph (1).
       (b) Payment.--Not later than November 20 of each year and 
     subject to appropriations, the Secretary of the Treasury 
     shall make a payment out of the Treasury to each State in an 
     amount equal to the amount determined for that State and 
     local governments in that State under subsection (a)(1). Each 
     State shall distribute the amounts attributable to local 
     governments in that State to the local governments.
       (c) Appropriation.--There are authorized to be appropriated 
     such sums as are necessary to carry out this section.
                                 ______
                                 
  SA 2071. Mr. COLEMAN submitted an amendment intended to be proposed 
by him to the bill H.R. 2673, making appropriations for Agriculture, 
Rural Development, Food and Drug Administration, and Related Agencies 
for the fiscal year ending September 30, 2004, and for other purposes; 
which was ordered to lie on the table; as follows:

       On page 79, between lines 7 and 8, insert the following:

[[Page 26988]]



     SEC. 7__. USE OF ELIGIBLE COMMODITIES.

       (a) Availability.--Section 416(b)(1) of the Agricultural 
     Act of 1949 (7 U.S.C. 1431(b)(1)) is amended in the first 
     sentence by striking ``1954 and under the Food for Progress 
     Act of 1985,'' and inserting ``1954 (7 U.S.C. 1721 et seq.), 
     the Food for Progress Act of 1985 (7 U.S.C. 1736o), and 
     section 3107 of the Farm Security and Rural Investment Act of 
     2002 (7 U.S.C. 1736o-1),''.
       (b) McGovern-Dole International Food for Education and 
     Child Nutrition Program.--Section 3107(l) of the Farm 
     Security and Rural Investment Act of 2002 (7 U.S.C. 1736o-
     1(l)) is amended by adding at the end the following:
       ``(4) Use of eligible commodities.--In addition to other 
     funds that are available under other provisions of law, the 
     President may use commodities and funds made available under 
     section 416(b) of the Agricultural Act of 1949 (7 U.S.C. 
     1431(b)) to carry out this section (including payment for 
     transportation of eligible commodities).''.

                          ____________________