[Congressional Record (Bound Edition), Volume 149 (2003), Part 23]
[Senate]
[Pages 32329-32338]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 2227. Mr. FRIST (for Mr. Grassley) proposed an amendment to the 
bill H.R. 743, to amend the Social Security Act and the Internal 
Revenue Code of 1986 to provide additional safeguards for Social 
Security and Supplemental Security Income beneficiaries with 
representative payees, to enhance program protections, and for other 
purposes; as follows:

       On page 83, strike lines 14 through 16, and insert ``807(i) 
     of the Social Security Act (42 U.S.C. 1007(i)) is amended 
     further by inserting after the''.
       Beginning on page 112, strike line 16 and all that follows 
     through page 113, line 6, and insert the following:
       ``(c)(1) In addition to the amount otherwise appropriated 
     in any other law to carry out subsection (a) for fiscal year 
     2004, up to $8,500,000 is authorized and appropriated and 
     shall be used by the Commissioner of Social Security under 
     this subsection for purposes of conducting a statistically 
     valid survey to determine how payments made to individuals, 
     organizations, and State or local government agencies that 
     are representative payees for benefits paid under title II or 
     XVI are being managed and used on behalf of the beneficiaries 
     for whom such benefits are paid.
       ``(2) Not later than 18 months after the date of enactment 
     of this subsection, the Commissioner of Social Security shall 
     submit a report on the survey conducted in accordance with 
     paragraph (1) to the Committee on Ways and Means of the House 
     of Representatives and the Committee on Finance of the 
     Senate.''.
       Beginning on page 118, strike line 19 and all that follows 
     through page 123, line 12, and insert the following:

     SEC. 203. DENIAL OF TITLE II BENEFITS TO PERSONS FLEEING 
                   PROSECUTION, CUSTODY, OR CONFINEMENT, AND TO 
                   PERSONS VIOLATING PROBATION OR PAROLE.

       (a) In General.--Section 202(x) of the Social Security Act 
     (42 U.S.C. 402(x)) is amended--
       (1) in the heading, by striking ``Prisoners'' and all that 
     follows and inserting the following: ``Prisoners, Certain 
     Other Inmates of Publicly Funded Institutions, Fugitives, 
     Probationers, and Parolees'';
       (2) in paragraph (1)(A)(ii)(IV), by striking ``or'' at the 
     end;
       (3) in paragraph (1)(A)(iii), by striking the period at the 
     end and inserting a comma;
       (4) by inserting after paragraph (1)(A)(iii) the following:
       ``(iv) is fleeing to avoid prosecution, or custody or 
     confinement after conviction, under the laws of the place 
     from which the person

[[Page 32330]]

     flees, for a crime, or an attempt to commit a crime, which is 
     a felony under the laws of the place from which the person 
     flees, or, in jurisdictions that do not define crimes as 
     felonies, is punishable by death or imprisonment for a term 
     exceeding 1 year regardless of the actual sentence imposed, 
     or
       ``(v) is violating a condition of probation or parole 
     imposed under Federal or State law.'';
       (5) by adding at the end of paragraph (1)(B) the following:
       ``(iii) Notwithstanding subparagraph (A), the Commissioner 
     shall, for good cause shown, pay the individual benefits that 
     have been withheld or would otherwise be withheld pursuant to 
     clause (iv) or (v) of subparagraph (A) if the Commissioner 
     determines that--
       ``(I) a court of competent jurisdiction has found the 
     individual not guilty of the criminal offense, dismissed the 
     charges relating to the criminal offense, vacated the warrant 
     for arrest of the individual for the criminal offense, or 
     issued any similar exonerating order (or taken similar 
     exonerating action), or
       ``(II) the individual was erroneously implicated in 
     connection with the criminal offense by reason of identity 
     fraud.
       ``(iv) Notwithstanding subparagraph (A), the Commissioner 
     may, for good cause shown based on mitigating circumstances, 
     pay the individual benefits that have been withheld or would 
     otherwise be withheld pursuant to clause (iv) or (v) of 
     subparagraph (A) if the Commissioner determines that--
       ``(I) the offense described in clause (iv) or underlying 
     the imposition of the probation or parole described in clause 
     (v) was nonviolent and not drug-related, and
       ``(II) in the case of an individual from whom benefits have 
     been withheld or otherwise would be withheld pursuant to 
     subparagraph (A)(v), the action that resulted in the 
     violation of a condition of probation or parole was 
     nonviolent and not drug-related.''; and
       (6) in paragraph (3), by adding at the end the following:
       ``(C) Notwithstanding the provisions of section 552a of 
     title 5, United States Code, or any other provision of 
     Federal or State law (other than section 6103 of the Internal 
     Revenue Code of 1986 and section 1106(c) of this Act), the 
     Commissioner shall furnish any Federal, State, or local law 
     enforcement officer, upon the written request of the officer, 
     with the current address, Social Security number, and 
     photograph (if applicable) of any beneficiary under this 
     title, if the officer furnishes the Commissioner with the 
     name of the beneficiary, and other identifying information as 
     reasonably required by the Commissioner to establish the 
     unique identity of the beneficiary, and notifies the 
     Commissioner that--
       ``(i) the beneficiary is described in clause (iv) or (v) of 
     paragraph (1)(A); and
       ``(ii) the location or apprehension of the beneficiary is 
     within the officer's official duties.''.
       (b) Conforming Amendments to Title XVI.--Section 1611(e) of 
     the Social Security Act (42 U.S.C. 1382(e)) is amended--
       (1) in paragraph (4)--
       (A) by redesignating subparagraphs (A) and (B) as clauses 
     (i) and (ii), respectively;
       (B) by inserting ``(A)'' after ``(4)'';
       (C) in clause (i) of subparagraph (A) (as redesignated by 
     subparagraph (A)), by striking ``or which, in the case of the 
     State of 
     New Jersey, is a high misdemeanor under the laws of such 
     State'' and inserting ``or, in jurisdictions that do not 
     define crimes as felonies, is punishable by death or 
     imprisonment for a term exceeding 1 year regardless of the 
     actual sentence imposed''; and
       (D) by adding at the end the following:
       ``(B) Notwithstanding subparagraph (A), the Commissioner 
     shall, for good cause shown, treat the person referred to in 
     subparagraph (A) as an eligible individual or eligible spouse 
     if the Commissioner determines that--
       ``(i) a court of competent jurisdiction has found the 
     person not guilty of the criminal offense, dismissed the 
     charges relating to the criminal offense, vacated the warrant 
     for arrest of the person for the criminal offense, or issued 
     any similar exonerating order (or taken similar exonerating 
     action), or
       ``(ii) the person was erroneously implicated in connection 
     with the criminal offense by reason of identity fraud.
       ``(C) Notwithstanding subparagraph (A), the Commissioner 
     may, for good cause shown based on mitigating circumstances, 
     treat the person referred to in subparagraph (A) as an 
     eligible individual or eligible spouse if the Commissioner 
     determines that--
       ``(i) the offense described in subparagraph (A)(i) or 
     underlying the imposition of the probation or parole 
     described in subparagraph (A)(ii) was nonviolent and not 
     drug-related, and
       ``(ii) in the case of a person who is not considered an 
     eligible individual or eligible spouse pursuant to 
     subparagraph (A)(ii), the action that resulted in the 
     violation of a condition of probation or parole was 
     nonviolent and not drug-related.''; and
       (2) in paragraph (5), by striking subparagraphs (A) and (B) 
     and inserting the following:
       ``(A) the recipient is described in clause (i) or (ii) of 
     paragraph (4)(A); and
       ``(B) the location or apprehension of the recipient is 
     within the officer's official duties.''.
       (c) Conforming Amendment.--Section 804(a)(2) of the Social 
     Security Act (42 U.S.C. 1004(a)(2)) is amended by striking 
     ``or which, in the case of the State of New Jersey, is a high 
     misdemeanor under the laws of such State'' and inserting 
     ``or, in jurisdictions that do not define crimes as felonies, 
     is punishable by death or imprisonment for a term exceeding 1 
     year regardless of the actual sentence imposed''.
       (d) Effective Date.--The amendments made by this section 
     shall take effect on the first day of the first month that 
     begins on or after the date that is 9 months after the date 
     of enactment of this Act.
       On page 126, beginning on line 22, strike ``guilty of'' and 
     all that follows through ``shall be'' on line 26, and insert 
     ``fined not more than $5,000, imprisoned not more than 3 
     years, or both, except that if the offense is committed only 
     by threats of force, the person shall be''.
       Beginning on page 129, strike line 16 and all that follows 
     through page 132, line 11, and insert the following:

     SEC. 209. AUTHORITY FOR JUDICIAL ORDERS OF RESTITUTION.

       (a) Amendments to Title II.--Section 208 of the Social 
     Security Act (42 U.S.C. 408) is amended--
       (1) by redesignating subsections (b), (c), and (d) as 
     subsections (c), (d), and (e), respectively;
       (2) by inserting after subsection (a) the following:
       ``(b)(1) Any Federal court, when sentencing a defendant 
     convicted of an offense under subsection (a), may order, in 
     addition to or in lieu of any other penalty authorized by 
     law, that the defendant make restitution to the victims of 
     such offense specified in paragraph (4).
       ``(2) Sections 3612, 3663, and 3664 of title 18, United 
     States Code, shall apply with respect to the issuance and 
     enforcement of orders of restitution to victims of such 
     offense under this subsection.
       ``(3) If the court does not order restitution, or orders 
     only partial restitution, under this subsection, the court 
     shall state on the record the reasons therefor.
       ``(4) For purposes of paragraphs (1) and (2), the victims 
     of an offense under subsection (a) are the following:
       ``(A) Any individual who suffers a financial loss as a 
     result of the defendant's violation of subsection (a).
       ``(B) The Commissioner of Social Security, to the extent 
     that the defendant's violation of subsection (a) results in--
       ``(i) the Commissioner of Social Security making a benefit 
     payment that should not have been made; or
       ``(ii) an individual suffering a financial loss due to the 
     defendant's violation of subsection (a) in his or her 
     capacity as the individual's representative payee appointed 
     pursuant to section 205(j).
       ``(5)(A) Except as provided in subparagraph (B), funds paid 
     to the Commissioner of Social Security as restitution 
     pursuant to a court order shall be deposited in the Federal 
     Old-Age and Survivors Insurance Trust Fund, or the Federal 
     Disability Insurance Trust Fund, as appropriate.
       ``(B) In the case of funds paid to the Commissioner of 
     Social Security pursuant to paragraph (4)(B)(ii), the 
     Commissioner of Social Security shall certify for payment to 
     the individual described in such paragraph an amount equal to 
     the lesser of the amount of the funds so paid or the 
     individual's outstanding financial loss, except that such 
     amount may be reduced by the amount of any overpayments of 
     benefits owed under this title, title VIII, or title XVI by 
     the individual.''; and
       (3) by amending subsection (c) (as redesignated by 
     paragraph (1)), by striking the second sentence.
       (b) Amendments to Title VIII.--Section 811 of the Social 
     Security Act (42 U.S.C. 1011) is amended--
       (1) by striking subsection (b) and inserting the following:
       ``(b) Court Order for Restitution.--
       ``(1) In general.--Any Federal court, when sentencing a 
     defendant convicted of an offense under subsection (a), may 
     order, in addition to or in lieu of any other penalty 
     authorized by law, that the defendant make restitution to the 
     Commissioner of Social Security, in any case in which such 
     offense results in--
       ``(A) the Commissioner of Social Security making a benefit 
     payment that should not have been made, or
       ``(B) an individual suffering a financial loss due to the 
     defendant's violation of subsection (a) in his or her 
     capacity as the individual's representative payee appointed 
     pursuant to section 807(i).
       ``(2) Related provisions.--Sections 3612, 3663, and 3664 of 
     title 18, United States Code, shall apply with respect to the 
     issuance and enforcement of orders of restitution under this 
     subsection. In so applying such sections, the Commissioner of 
     Social Security shall be considered the victim.
       ``(3) Stated reasons for not ordering restitution.--If the 
     court does not order restitution, or orders only partial 
     restitution, under this subsection, the court shall state on 
     the record the reasons therefor.

[[Page 32331]]

       ``(4) Receipt of restitution payments.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     funds paid to the Commissioner of Social Security as 
     restitution pursuant to a court order shall be deposited as 
     miscellaneous receipts in the general fund of the Treasury.
       ``(B) Payment to the individual.--In the case of funds paid 
     to the Commissioner of Social Security pursuant to paragraph 
     (1)(B), the Commissioner of Social Security shall certify for 
     payment to the individual described in such paragraph an 
     amount equal to the lesser of the amount of the funds so paid 
     or the individual's outstanding financial loss as described 
     in such paragraph, except that such amount may be reduced by 
     any overpayment of benefits owed under this title, title II, 
     or title XVI by the individual.''.
       (c) Amendments to Title XVI.--Section 1632 of the Social 
     Security Act (42 U.S.C. 1383a) is amended--
       (1) by redesignating subsection (b) as subsection (c); and
       (2) by inserting after subsection (a) the following:
       ``(b)(1) Any Federal court, when sentencing a defendant 
     convicted of an offense under subsection (a), may order, in 
     addition to or in lieu of any other penalty authorized by 
     law, that the defendant make restitution to the Commissioner 
     of Social Security, in any case in which such offense results 
     in--
       ``(A) the Commissioner of Social Security making a benefit 
     payment that should not have been made, or
       ``(B) an individual suffering a financial loss due to the 
     defendant's violation of subsection (a) in his or her 
     capacity as the individual's representative payee appointed 
     pursuant to section 1631(a)(2).
       ``(2) Sections 3612, 3663, and 3664 of title 18, United 
     States Code, shall apply with respect to the issuance and 
     enforcement of orders of restitution under this subsection. 
     In so applying such sections, the Commissioner of Social 
     Security shall be considered the victim.
       ``(3) If the court does not order restitution, or orders 
     only partial restitution, under this subsection, the court 
     shall state on the record the reasons therefor.
       ``(4)(A) Except as provided in subparagraph (B), funds paid 
     to the Commissioner of Social Security as restitution 
     pursuant to a court order shall be deposited as miscellaneous 
     receipts in the general fund of the Treasury.
       ``(B) In the case of funds paid to the Commissioner of 
     Social Security pursuant to paragraph (1)(B), the 
     Commissioner of Social Security shall certify for payment to 
     the individual described in such paragraph an amount equal to 
     the lesser of the amount of the funds so paid or the 
     individual's outstanding financial loss as described in such 
     paragraph, except that such amount may be reduced by any 
     overpayment of benefits owed under this title, title II, or 
     title VIII by the individual.''; and
       (3) by amending subsection (c) (as redesignated by 
     paragraph (1)) by striking ``(1) If a person'' and all that 
     follows through ``(2)''.
       (d) Effective Date.--The amendments made by subsections 
     (a), (b), and (c) shall apply with respect to violations 
     occurring on or after the date of enactment of this Act.
       Beginning on page 132, strike line 12 and all that follows 
     through page 133, line 18.
       On page 133, line 19, strike ``211'' and insert ``210''.
       On page 138, line 17, strike ``212'' and insert ``211''.
       On page 139, strike lines 5 through 11, and insert the 
     following:
       ``(c) For purposes of subsections (a) and (b), the 
     criterion specified in this subsection is that the 
     individual, if not a United States citizen or national--
       ``(1) has been assigned a social security account number 
     that was, at the time of assignment, or at any later time, 
     consistent with the requirements of subclause (I) or (III) of 
     section 205(c)(2)(B)(i); or
       ``(2) at the time any such quarters of coverage are 
     earned--
       ``(A) is described in subparagraph (B) or (D) of section 
     101(a)(15) of the Immigration and Nationality Act,
       ``(B) is lawfully admitted temporarily to the United States 
     for business (in the case of an individual described in such 
     subparagraph (B)) or the performance as a crewman (in the 
     case of an individual described in such subparagraph (D)), 
     and
       ``(C) the business engaged in or service as a crewman 
     performed is within the scope of the terms of such 
     individual's admission to the United States.''.
       On page 139, strike lines 18 through 22, and insert the 
     following:
       ``(C) if not a United States citizen or national--
       ``(i) has been assigned a social security account number 
     that was, at the time of assignment, or at any later time, 
     consistent with the requirements of subclause (I) or (III) of 
     section 205(c)(2)(B)(i); or
       ``(ii) at the time any quarters of coverage are earned--
       ``(I) is described in subparagraph (B) or (D) of section 
     101(a)(15) of the Immigration and Nationality Act,
       ``(II) is lawfully admitted temporarily to the United 
     States for business (in the case of an individual described 
     in such subparagraph (B)) or the performance as a crewman (in 
     the case of an individual described in such subparagraph 
     (D)), and
       ``(III) the business engaged in or service as a crewman 
     performed is within the scope of the terms of such 
     individual's admission to the United States.''.
       On page 139, line 24, strike ``filed'' and insert ``based 
     on social security account numbers issued''.
       Beginning on page 141, strike line 9 and all that follows 
     through page 143, line 23, and insert the following:

     SEC. 302. TEMPORARY EXTENSION OF ATTORNEY FEE PAYMENT SYSTEM 
                   TO TITLE XVI CLAIMS.

       (a) In General.--Section 1631(d)(2) of the Social Security 
     Act (42 U.S.C. 1383(d)(2)) is amended--
       (1) in subparagraph (A), in the matter preceding clause 
     (i)--
       (A) by striking ``section 206(a)'' and inserting ``section 
     206'';
       (B) by striking ``(other than paragraph (4) thereof)'' and 
     inserting ``(other than subsections (a)(4) and (d) 
     thereof)''; and
       (C) by striking ``paragraph (2) thereof'' and inserting 
     ``such section'';
       (2) in subparagraph (A)(i)--
       (A) by striking ``in subparagraphs (A)(ii)(I) and (C)(i),'' 
     and inserting ``in subparagraphs (A)(ii)(I) and (D)(i) of 
     subsection (a)(2)''; and
       (B) by striking ``and'' at the end;
       (3) by striking subparagraph (A)(ii) and inserting the 
     following:
       ``(ii) by substituting, in subsections (a)(2)(B) and 
     (b)(1)(B)(i), the phrase `paragraph (7)(A) or (8)(A) of 
     section 1631(a) or the requirements of due process of law' 
     for the phrase `subsection (g) or (h) of section 223';
       ``(iii) by substituting, in subsection (a)(2)(C)(i), the 
     phrase `under title II' for the phrase `under title XVI';
       ``(iv) by substituting, in subsection (b)(1)(A), the phrase 
     `pay the amount of such fee' for the phrase `certify the 
     amount of such fee for payment' and by striking, in 
     subsection (b)(1)(A), the phrase `or certified for payment'; 
     and
       ``(v) by substituting, in subsection (b)(1)(B)(ii), the 
     phrase `deemed to be such amounts as determined before any 
     applicable reduction under section 1631(g), and reduced by 
     the amount of any reduction in benefits under this title or 
     title II made pursuant to section 1127(a)' for the phrase 
     `determined before any applicable reduction under section 
     1127(a))'.''; and
       (4) by redesignating subparagraph (B) as subparagraph (D) 
     and inserting after subparagraph (A) the following:
       ``(B) Subject to subparagraph (C), if the claimant is 
     determined to be entitled to past-due benefits under this 
     title and the person representing the claimant is an 
     attorney, the Commissioner of Social Security shall pay out 
     of such past-due benefits to such attorney an amount equal to 
     the lesser of--
       ``(i) so much of the maximum fee as does not exceed 25 
     percent of such past-due benefits (as determined before any 
     applicable reduction under section 1631(g) and reduced by the 
     amount of any reduction in benefits under this title or title 
     II pursuant to section 1127(a)), or
       ``(ii) the amount of past-due benefits available after any 
     applicable reductions under sections 1631(g) and 1127(a).
       ``(C)(i) Whenever a fee for services is required to be paid 
     to an attorney from a claimant's past-due benefits pursuant 
     to subparagraph (B), the Commissioner shall impose on the 
     attorney an assessment calculated in accordance with clause 
     (ii).
       ``(ii)(I) The amount of an assessment under clause (i) 
     shall be equal to the product obtained by multiplying the 
     amount of the representative's fee that would be required to 
     be paid by subparagraph (B) before the application of this 
     subparagraph, by the percentage specified in subclause (II), 
     except that the maximum amount of the assessment may not 
     exceed $75. In the case of any calendar year beginning after 
     the amendments made by section 302 of the Social Security 
     Protection Act of 2003 take effect, the dollar amount 
     specified in the preceding sentence (including a previously 
     adjusted amount) shall be adjusted annually under the 
     procedures used to adjust benefit amounts under section 
     215(i)(2)(A)(ii), except such adjustment shall be based on 
     the higher of $75 or the previously adjusted amount that 
     would have been in effect for December of the preceding year, 
     but for the rounding of such amount pursuant to the following 
     sentence. Any amount so adjusted that is not a multiple of $1 
     shall be rounded to the next lowest multiple of $1, but in no 
     case less than $75.
       ``(II) The percentage specified in this subclause is such 
     percentage rate as the Commissioner determines is necessary 
     in order to achieve full recovery of the costs of determining 
     and approving fees to attorneys from the past-due benefits of 
     claimants, but not in excess of 6.3 percent.
       ``(iii) The Commissioner may collect the assessment imposed 
     on an attorney under clause (i) by offset from the amount of 
     the fee otherwise required by subparagraph (B) to be paid to 
     the attorney from a claimant's past-due benefits.
       ``(iv) An attorney subject to an assessment under clause 
     (i) may not, directly or indirectly, request or otherwise 
     obtain reimbursement for such assessment from the

[[Page 32332]]

     claimant whose claim gave rise to the assessment.
       ``(v) Assessments on attorneys collected under this 
     subparagraph shall be deposited as miscellaneous receipts in 
     the general fund of the Treasury.
       ``(vi) The assessments authorized under this subparagraph 
     shall be collected and available for obligation only to the 
     extent and in the amount provided in advance in 
     appropriations Acts. Amounts so appropriated are authorized 
     to remain available until expended, for administrative 
     expenses in carrying out this title and related laws.''.
       (b) Conforming Amendments.--Section 1631(a) of the Social 
     Security Act (42 U.S.C. 1383(a)) is amended--
       (1) in paragraph (2)(F)(i)(II), by inserting ``and payment 
     of attorney fees under subsection (d)(2)(B)'' after 
     ``subsection (g)''; and
       (2) in paragraph (10)(A)--
       (A) in the matter preceding clause (i), by inserting ``and 
     payment of attorney fees under subsection (d)(2)(B)'' after 
     ``subsection (g)''; and
       (B) in the matter following clause (ii), by inserting ``and 
     payment of attorney fees under subsection (d)(2)(B)'' after 
     ``State''.
       (c) Effective Date.--
       (1) In general.--The amendments made by this section shall 
     apply with respect to fees for representation of claimants 
     which are first required to be paid under section 1631(d)(2) 
     of the Social Security Act on or after the date of the 
     submission by the Commissioner of Social Security to each 
     House of Congress pursuant to section 303(d) of this Act of 
     written notice of completion of full implementation of the 
     requirements for operation of the demonstration project under 
     section 303 of this Act.
       (2) Sunset.--Such amendments shall not apply with respect 
     to fees for representation of claimants in the case of any 
     claim for benefits with respect to which the agreement for 
     representation is entered into after 5 years after the date 
     described in paragraph (1).

     SEC. 303. NATIONWIDE DEMONSTRATION PROJECT PROVIDING FOR 
                   EXTENSION OF FEE WITHHOLDING PROCEDURES TO NON-
                   ATTORNEY REPRESENTATIVES.

       (a) In General.--The Commissioner of Social Security 
     (hereafter in this section referred to as the 
     ``Commissioner'') shall develop and carry out a nationwide 
     demonstration project under this section with respect to 
     agents and other persons, other than attorneys, who represent 
     claimants under titles II and XVI of the Social Security Act 
     before the Commissioner. The demonstration project shall be 
     designed to determine the potential results of extending to 
     such representatives the fee withholding procedures and 
     assessment procedures that apply under sections 206 and 
     section 1631(d)(2) of such Act to attorneys seeking direct 
     payment out of past due benefits under such titles and shall 
     include an analysis of the effect of such extension on 
     claimants and program administration.
       (b) Standards for Inclusion in Demonstration Project.--Fee-
     withholding procedures may be extended under the 
     demonstration project carried out pursuant to subsection (a) 
     to any non-attorney representative only if such 
     representative meets at least the following prerequisites:
       (1) The representative has been awarded a bachelor's degree 
     from an accredited institution of higher education, or has 
     been determined by the Commissioner to have equivalent 
     qualifications derived from training and work experience.
       (2) The representative has passed an examination, written 
     and administered by the Commissioner, which tests knowledge 
     of the relevant provisions of the Social Security Act and the 
     most recent developments in agency and court decisions 
     affecting titles II and XVI of such Act.
       (3) The representative has secured professional liability 
     insurance, or equivalent insurance, which the Commissioner 
     has determined to be adequate to protect claimants in the 
     event of malpractice by the representative.
       (4) The representative has undergone a criminal background 
     check to ensure the representative's fitness to practice 
     before the Commissioner.
       (5) The representative demonstrates ongoing completion of 
     qualified courses of continuing education, including 
     education regarding ethics and professional conduct, which 
     are designed to enhance professional knowledge in matters 
     related to entitlement to, or eligibility for, benefits based 
     on disability under titles II and XVI of such Act. Such 
     continuing education, and the instructors providing such 
     education, shall meet such standards as the Commissioner may 
     prescribe.
       (c) Assessment of Fees.--
       (1) In general.--The Commissioner may assess 
     representatives reasonable fees to cover the cost to the 
     Social Security Administration of administering the 
     prerequisites described in subsection (b).
       (2) Disposition of fees.--Fees collected under paragraph 
     (1) shall be credited to the Federal Old-Age and Survivors 
     Insurance Trust Fund and the Federal Disability Insurance 
     Trust Fund, or deposited as miscellaneous receipts in the 
     general fund of the Treasury, based on such allocations as 
     the Commissioner of Social Security determines appropriate.
       (3) Authorization of appropriations.--The fees authorized 
     under this subparagraph shall be collected and available for 
     obligation only to the extent and in the amount provided in 
     advance in appropriations Acts. Amounts so appropriated are 
     authorized to remain available until expended for 
     administering the prerequisites described in subsection (b).
       (d) Notice to Congress and Applicability of Fee Withholding 
     Procedures.--Not later than 1 year after the date of 
     enactment of this Act, the Commissioner shall complete such 
     actions as are necessary to fully implement the requirements 
     for full operation of the demonstration project and shall 
     submit to each House of Congress a written notice of the 
     completion of such actions. The applicability under this 
     section to non-attorney representatives of the fee 
     withholding procedures and assessment procedures under 
     sections 206 and 1631(d)(2) of the Social Security Act shall 
     be effective with respect to fees for representation of 
     claimants in the case of claims for benefits with respect to 
     which the agreement for representation is entered into by 
     such non-attorney representatives during the period beginning 
     with the date of the submission of such notice by the 
     Commissioner to Congress and ending with the termination date 
     of the demonstration project.
       (e) Reports by the Commissioner; Termination.--
       (1) Interim reports.--On or before the date which is 1 year 
     after the date of enactment of this Act, and annually 
     thereafter, the Commissioner shall transmit to the Committee 
     on Ways and Means of the House of Representatives and to the 
     Committee on Finance of the Senate an annual interim report 
     on the progress of the demonstration project carried out 
     under this section, together with any related data and 
     materials that the Commissioner may consider appropriate.
       (2) Termination date and final report.--The termination 
     date of the demonstration project under this section is the 
     date which is 5 years after the date of the submission of the 
     notice by the Commissioner to each House of Congress pursuant 
     to subsection (d). The authority under the preceding 
     provisions of this section shall not apply in the case of 
     claims for benefits with respect to which the agreement for 
     representation is entered into after the termination date. 
     Not later than 90 days after the termination date, the 
     Commissioner shall submit to the Committee on Ways and Means 
     of the House of Representatives and to the Committee on 
     Finance of the Senate a final report with respect to the 
     demonstration project.

     SEC. 304. GAO STUDY REGARDING THE FEE PAYMENT PROCESS FOR 
                   CLAIMANT REPRESENTATIVES.

       (a) Study.--
       (1) In general.--The Comptroller General of the United 
     States shall study and evaluate the appointment and payment 
     of claimant representatives appearing before the Commissioner 
     of Social Security in connection with benefit claims under 
     titles II and XVI of the Social Security Act (42 U.S.C. 401 
     et seq., 1381 et seq.) in each of the following groups:
       (A) Attorney claimant representatives who elect fee 
     withholding under section 206 or 1631(d)(2) of such Act.
       (B) Attorney claimant representatives who do not elect such 
     fee withholding.
       (C) Non-attorney claimant representatives who are eligible 
     for, and elect, such fee withholding.
       (D) Non-attorney claimant representatives who are eligible 
     for, but do not elect, such fee withholding.
       (E) Non-attorney claimant representatives who are not 
     eligible for such fee withholding.
       (2) Matters to be studied.--In conducting the study under 
     this subsection, the Comptroller General shall, for each of 
     group of claimant representatives described in paragraph 
     (1)--
       (A) conduct a survey of the relevant characteristics of 
     such claimant representatives including--
       (i) qualifications and experience;
       (ii) the type of employment of such claimant 
     representatives, such as with an advocacy group, State or 
     local government, or insurance or other company;
       (iii) geographical distribution between urban and rural 
     areas;
       (iv) the nature of claimants' cases, such as whether the 
     cases are for disability insurance benefits only, 
     supplemental security income benefits only, or concurrent 
     benefits;
       (v) the relationship of such claimant representatives to 
     claimants, such as whether the claimant is a friend, family 
     member, or client of the claimant representative; and
       (vi) the amount of compensation (if any) paid to the 
     claimant representatives and the method of payment of such 
     compensation;
       (B) assess the quality and effectiveness of the services 
     provided by such claimant representatives, including a 
     comparison of claimant satisfaction or complaints and benefit 
     outcomes, adjusted for differences in claimant 
     representatives' caseload, claimants' diagnostic group, level 
     of decision, and other relevant factors;
       (C) assess the interactions between fee withholding under 
     sections 206 and 1631(d)(2) of such Act (including under the 
     amendments made by section 302 of this Act and under the 
     demonstration project conducted

[[Page 32333]]

     under section 303 of this Act), the windfall offset under 
     section 1127 of such Act, and interim assistance 
     reimbursements under section 1631(g) of such Act;
       (D) assess the potential results of making permanent the 
     fee withholding procedures under sections 206 and 1631(d)(2) 
     of such Act under the amendments made by section 302 of this 
     Act and under the demonstration project conducted under 
     section 303 of this Act with respect to program 
     administration and claimant outcomes, and assess whether the 
     rules and procedures employed by the Commissioner of Social 
     Security to evaluate the qualifications and performance of 
     claimant representatives should be revised prior to making 
     such procedures permanent; and
       (E) make such recommendations for administrative and 
     legislative changes as the Comptroller General of the United 
     States considers necessary or appropriate.
       (3) Consultation required.--The Comptroller General of the 
     United States shall consult with beneficiaries under title II 
     of such Act, beneficiaries under title XVI of such Act, 
     claimant representatives of beneficiaries under such titles, 
     and other interested parties, in conducting the study and 
     evaluation required under paragraph (1).
       (b) Report.--Not later than 3 years after the date of the 
     submission by the Commissioner of Social Security to each 
     House of Congress pursuant to section 303(d) of this Act of 
     written notice of completion of full implementation of the 
     requirements for operation of the demonstration project under 
     section 303 of this Act, the Comptroller General of the 
     United States shall submit to the Committee on Ways and Means 
     of the House of Representatives and the Committee on Finance 
     of the Senate a report on the results of the study and 
     evaluation conducted pursuant to subsection (a).
       On page 144, strike lines 7 through 13, and insert the 
     following:

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

       Section 234 of the Social Security Act (42 U.S.C. 434) is 
     amended--
       (1) in the first sentence of subsection (c), by striking 
     ``conducted under subsection (a)'' and inserting ``initiated 
     under subsection (a) on or before December 17, 2005''; and
       (2) in subsection (d)(2), by striking the first sentence 
     and inserting the following: ``The authority to initiate 
     projects under the preceding provisions of this section shall 
     terminate on December 18, 2005.''.
       On page 149, after line 21, add the following:

     SEC. 407. REAUTHORIZATION OF APPROPRIATIONS FOR CERTAIN WORK 
                   INCENTIVES PROGRAMS.

       (a) Benefits Planning, Assistance, and Outreach.--Section 
     1149(d) of the Social Security Act (42 U.S.C. 1320b-20(d)) is 
     amended by striking ``2004'' and inserting ``2009''.
       (b) Protection and Advocacy.--Section 1150(h) of the Social 
     Security Act (42 U.S.C. 1320b-21(h)) is amended by striking 
     ``2004'' and inserting ``2009''.
       Beginning on page 157, strike line 16 and all that follows 
     through page 158, line 2, and insert the following:

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

       (a) In General.--Section 218(d)(6)(C) of the Social 
     Security Act (42 U.S.C. 418(d)(6)(C)) is amended by inserting 
     ``Kentucky, Louisiana,'' after ``Illinois,''.
       (b) Effective Date.--The amendment made by subsection (a) 
     takes effect on January 1, 2003.
       Beginning on page 159, strike line 1 and all that follows 
     through page 166, line 8, and insert the following:

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

       (a) In General.--Section 202(k) of the Social Security Act 
     (42 U.S.C. 402(k)) is amended by adding at the end the 
     following:
       ``(5)(A) The amount of a monthly insurance benefit of any 
     individual for each month under subsection (b), (c), (e), 
     (f), or (g) (as determined after application of the 
     provisions of subsection (q) and the preceding provisions of 
     this subsection) shall be reduced (but not below zero) by an 
     amount equal to two-thirds of the amount of any monthly 
     periodic benefit payable to such individual for such month 
     which is based upon such individual's earnings while in the 
     service of the Federal Government or any State (or political 
     subdivision thereof, as defined in section 218(b)(2)) if, 
     during any portion of the last 60 months of such service 
     ending with the last day such individual was employed by such 
     entity--
       ``(i) such service did not constitute `employment' as 
     defined in section 210, or
       ``(ii) such service was being performed while in the 
     service of the Federal Government, and constituted 
     `employment' as so defined solely by reason of--
       ``(I) clause (ii) or (iii) of subparagraph (G) of section 
     210(a)(5), where the lump-sum payment described in such 
     clause (ii) or the cessation of coverage described in such 
     clause (iii) (whichever is applicable) was received or 
     occurred on or after January 1, 1988, or
       ``(II) an election to become subject to the Federal 
     Employees' Retirement System provided in chapter 84 of title 
     5, United States Code, or the Foreign Service Pension System 
     provided in subchapter II of chapter 8 of title I of the 
     Foreign Service Act of 1980 made pursuant to law after 
     December 31, 1987,

     unless subparagraph (B) applies.

     The amount of the reduction in any benefit under this 
     subparagraph, if not a multiple of $0.10, shall be rounded to 
     the next higher multiple of $0.10.
       ``(B)(i) Subparagraph (A)(i) shall not apply with respect 
     to monthly periodic benefits based wholly on service as a 
     member of a uniformed service (as defined in section 210(m)).
       ``(ii) Subparagraph (A)(ii) shall not apply with respect to 
     monthly periodic benefits based in whole or in part on 
     service which constituted `employment' as defined in section 
     210 if such service was performed for at least 60 months in 
     the aggregate during the period beginning January 1, 1988, 
     and ending with the close of the first calendar month as of 
     the end of which such individual is eligible for benefits 
     under this subsection and has made a valid application for 
     such benefits.
       ``(C) For purposes of this paragraph, any periodic benefit 
     which otherwise meets the requirements of subparagraph (A), 
     but which is paid on other than a monthly basis, shall be 
     allocated on a basis equivalent to a monthly benefit (as 
     determined by the Commissioner of Social Security) and such 
     equivalent monthly benefit shall constitute a monthly 
     periodic benefit for purposes of subparagraph (A). For 
     purposes of this subparagraph, the term `periodic benefit' 
     includes a benefit payable in a lump sum if it is a 
     commutation of, or a substitute for, periodic payments.''.
       (b) Conforming Amendments.--
       (1) Wife's insurance benefits.--Section 202(b) of the 
     Social Security Act (42 U.S.C. 402(b)) is amended--
       (A) in paragraph (2), by striking ``subsection (q) and 
     paragraph (4) of this subsection'' and inserting 
     ``subsections (k)(5) and (q)''; and
       (B) by striking paragraph (4) and redesignating paragraph 
     (5) as paragraph (4).
       (2) Husband's insurance benefits.--Section 202(c) of the 
     Social Security Act (42 U.S.C. 402(c)) is amended--
       (A) by striking paragraph (2) and redesignating paragraphs 
     (3) through (5) as paragraphs (2) through (4), respectively; 
     and
       (B) in paragraph (2) as so redesignated, by striking 
     ``subsection (q) and paragraph (2) of this subsection'' and 
     inserting ``subsections (k)(5) and (q)''.
       (3) Widow's insurance benefits.--Section 202(e) of the 
     Social Security Act (42 U.S.C. 402(e)) is amended--
       (A) in paragraph (2)(A), by striking ``subsection (q), 
     paragraph (7) of this subsection,'' and inserting 
     ``subsection (k)(5), subsection (q),''; and
       (B) by striking paragraph (7) and redesignating paragraphs 
     (8) and (9) as paragraphs (7) and (8), respectively.
       (4) Widower's insurance benefits.--
       (A) In general.--Section 202(f) of the Social Security Act 
     (42 U.S.C. 402(f)) is amended--
       (i) by striking paragraph (2) and redesignating paragraphs 
     (3) through (9) as paragraphs (2) through (8), respectively; 
     and
       (ii) in paragraph (2) as so redesignated, by striking 
     ``subsection (q), paragraph (2) of this subsection,'' and 
     inserting ``subsection (k)(5), subsection (q),''.
       (B) Conforming amendments.--
       (i) Section 202(f)(1)(B) of the Social Security Act (42 
     U.S.C. 402(f)(1)(B)) is amended by striking ``paragraph (5)'' 
     and inserting ``paragraph (4)''.
       (ii) Section 202(f)(1)(F) of the Social Security Act (42 
     U.S.C. 402(f)(1)(F)) is amended by striking ``paragraph (6)'' 
     and ``paragraph (5)'' (in clauses (i) and (ii)) and inserting 
     ``paragraph (5)'' and ``paragraph (4)'', respectively.
       (iii) Section 202(f)(5)(A)(ii) of the Social Security Act 
     (as redesignated by subparagraph (A)(i)) is amended by 
     striking ``paragraph (5)'' and inserting ``paragraph (4)''.
       (iv) Section 202(k)(2)(B) of the Social Security Act (42 
     U.S.C. 402(k)(2)(B)) is amended by striking ``or (f)(4)'' 
     each place it appears and inserting ``or (f)(3)''.
       (v) Section 202(k)(3)(A) of the Social Security Act (42 
     U.S.C. 402(k)(3)(A)) is amended by striking ``or (f)(3)'' and 
     inserting ``or (f)(2)''.
       (vi) Section 202(k)(3)(B) of the Social Security Act (42 
     U.S.C. 402(k)(3)(B)) is amended by striking ``or (f)(4)'' and 
     inserting ``or (f)(3)''.
       (vii) Section 226(e)(1)(A)(i) of the Social Security Act 
     (42 U.S.C. 426(e)(1)(A)(i)) is amended by striking ``and 
     202(f)(5)'' and inserting ``and 202(f)(4)''.
       (5) Mother's and father's insurance benefits.--Section 
     202(g) of the Social Security Act (42 U.S.C. 402(g)) is 
     amended--
       (A) in paragraph (2), by striking ``Except as provided in 
     paragraph (4) of this subsection, such'' and inserting 
     ``Such''; and
       (B) by striking paragraph (4).
       (c) Effective Date and Transitional Rule.--
       (1) In general.--The amendments made by this section shall 
     apply with respect to applications for benefits under title 
     II of the Social Security Act filed on or after the first day 
     of the first month that begins after the date of enactment of 
     this Act, except that such amendments shall not apply in 
     connection with monthly periodic benefits of any

[[Page 32334]]

     individual based on earnings while in service described in 
     section 202(k)(5)(A) of the Social Security Act (in the 
     matter preceding clause (i) thereof) if the last day of such 
     service occurs before July 1, 2004.
       (2) Transitional rule.--In the case of any individual whose 
     last day of service described in subparagraph (A) of section 
     202(k)(5) of the Social Security Act (as added by subsection 
     (a) of this section) occurs within 5 years after the date of 
     enactment of this Act--
       (A) the 60-month period described in such subparagraph (A) 
     shall be reduced (but not to less than 1 month) by the number 
     of months of such service (in the aggregate and without 
     regard to whether such months of service were continuous) 
     which--
       (i) were performed by the individual under the same 
     retirement system on or before the date of enactment of this 
     Act, and
       (ii) constituted ``employment'' as defined in section 210 
     of the Social Security Act; and
       (B) months of service necessary to fulfill the 60-month 
     period as reduced by subparagraph (A) of this paragraph must 
     be performed after the date of enactment of this Act.
       On page 166, strike line 9 and insert the following:

     SEC. 419. DISCLOSURE TO WORKERS OF EFFECT OF WINDFALL 
                   ELIMINATION PROVISION AND GOVERNMENT PENSION 
                   OFFSET PROVISION.

       (a) Inclusion of Noncovered Employees as Eligible 
     Individuals Entitled to Social Security Account Statements.--
     Section 1143(a)(3) of the Social Security Act (42 U.S.C. 
     1320b-13(a)(3)) is amended--
       (1) by striking ``who'' after ``an individual'' and 
     inserting ``who'' before ``has'' in each of subparagraphs (A) 
     and (B);
       (2) by inserting ``(i) who'' after ``(C)''; and
       (3) by inserting before the period the following: ``, or 
     (ii) with respect to whom the Commissioner has information 
     that the pattern of wages or self-employment income indicate 
     a likelihood of noncovered employment''.
       (b) Explanation in Social Security Account Statements of 
     Possible Effects of Periodic Benefits Under State and Local 
     Retirement Systems on Social Security Benefits.--Section 
     1143(a)(2) of the Social Security Act (42 U.S.C. 1320b-
     13(a)(2)) is amended--
       (1) in subparagraph (C), by striking ``and'' at the end;
       (2) in subparagraph (D), by striking the period and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(E) in the case of an eligible individual described in 
     paragraph (3)(C)(ii), an explanation, in language calculated 
     to be understood by the average eligible individual, of the 
     operation of the provisions under sections 202(k)(5) and 
     215(a)(7) and an explanation of the maximum potential effects 
     of such provisions on the eligible individual's monthly 
     retirement, survivor, and auxiliary benefits.''.
       (c) Truth in Retirement Disclosure to Governmental 
     Employees of Effect of Noncovered Employment on Benefits 
     Under Title II.--Section 1143 of the Social Security Act (42 
     U.S..C. 1320b-13) is amended further by adding at the end the 
     following:

    ``Disclosure to Governmental Employees of Effect of Noncovered 
                               Employment

       ``(d)(1) In the case of any individual commencing 
     employment on or after January 1, 2005, in any agency or 
     instrumentality of any State (or political subdivision 
     thereof, as defined in section 218(b)(2)) in a position in 
     which service performed by the individual does not constitute 
     `employment' as defined in section 210, the head of the 
     agency or instrumentality shall ensure that, prior to the 
     date of the commencement of the individual's employment in 
     the position, the individual is provided a written notice 
     setting forth an explanation, in language calculated to be 
     understood by the average individual, of the maximum effect 
     on computations of primary insurance amounts (under section 
     215(a)(7)) and the effect on benefit amounts (under section 
     202(k)(5)) of monthly periodic payments or benefits payable 
     based on earnings derived in such service. Such notice shall 
     be in a form which shall be prescribed by the Commissioner of 
     Social Security.
       ``(2) The written notice provided to an individual pursuant 
     to paragraph (1) shall include a form which, upon completion 
     and signature by the individual, would constitute 
     certification by the individual of receipt of the notice. The 
     agency or instrumentality providing the notice to the 
     individual shall require that the form be completed and 
     signed by the individual and submitted to the agency or 
     instrumentality and to the pension, annuity, retirement, or 
     similar fund or system established by the governmental entity 
     involved responsible for paying the monthly periodic payments 
     or benefits, before commencement of service with the agency 
     or instrumentality.''.
       (d) Effective Dates.--The amendments made by subsections 
     (a) and (b) of this section shall apply with respect to 
     social security account statements issued on or after January 
     1, 2007.

     SEC. 420. POST-1956 MILITARY WAGE CREDITS.

       On page 167, between lines 14 and 15, insert the following:

     SEC. 420A. ELIMINATION OF DISINCENTIVE TO RETURN-TO-WORK FOR 
                   CHILDHOOD DISABILITY BENEFICIARIES.

       (a) In General.--Section 202(d)(6)(B) of the Social 
     Security Act (42 U.S.C. 402(d)(6)(B)) is amended--
       (1) by inserting ``(i)'' after ``began''; and
       (2) by adding after ``such disability,'' the following: 
     ``or (ii) after the close of the 84th month following the 
     month in which his most recent entitlement to child's 
     insurance benefits terminated because he ceased to be under 
     such disability due to performance of substantial gainful 
     activity,''.
       (b) Effective Date.--The amendments made by subsection (a) 
     shall be effective with respect to benefits payable for 
     months beginning with the 7th month that begins after the 
     date of enactment of this Act.
       Beginning on page 173, strike line 3 and all that follows 
     through page 174, line 10, and insert the following:
       (e) Transfers.--Section 15A(d)(2) of the Railroad 
     Retirement Act of 1974 (45 U.S.C. 231n-1(d)(2)) is amended--
       (1) by inserting ``or the Railroad Retirement Account'' 
     after ``National Railroad Retirement Investment Trust'' the 
     second place it appears;
       (2) by inserting ``or the Railroad Retirement Board'' after 
     ``National Railroad Retirement Investment Trust'' the third 
     place it appears;
       (3) by inserting ``(either directly or through a commingled 
     account consisting only of such obligations)'' after ``United 
     States'' the first place it appears; and
       (4) in the third sentence, by inserting before the period 
     at the end the following: ``or to purchase such additional 
     obligations''.
       Beginning on page 177, strike line 20 and all that follows 
     through page 178, line 18.
       On page 178, line 19, strike ``433'' and insert ``432''.
       Beginning on page 179, strike line 5 and all that follows 
     through page 181, line 3.
       On page 181, line 4, strike ``435'' and insert ``433''.
       On page 182, line 11, strike ``436'' and insert ``434''.
       On page 183, line 3, strike ``437'' and insert ``435''.
       On page 184, line 6, strike ``438'' and insert ``436''.
       Beginning on page 184, strike line 21 and all that follows 
     through page 186, line 22.

       Conform the table of contents accordingly.
                                 ______
                                 
  SA 2228. Mr. FRIST (for Mr. Alexander) proposed an amendment to the 
bill H.R. 2264, An act to authorize appropriations for fiscal year 2004 
to carry out the Congo Basin Forest Partnership program, and for other 
purposes; as follows:

       Beginning on page 5, strike line 24 and all that follows 
     through page 6, line 11, and insert the following:
       (a) In General.--There are authorized to be appropriated to 
     the President to carry out the Congo Basin Forest Partnership 
     (CBFP) program $18,600,000 for fiscal year 2004.
       (b) CARPE.--Of the amounts appropriated pursuant to the 
     authorization of appropriations in subsection (a), 
     $16,000,000 is authorized to be made available to the Central 
     Africa Regional Program for the Environment (CARPE) of the 
     United States Agency for International Development.
       (c) Availability.--Amounts appropriated pursuant to the 
     authorization of appropriations under subsection (a) are 
     authorized to remain available until expended.
                                 ______
                                 
  SA 2229. Mr. FRIST (for Mr. Alexander) proposed an amendment to the 
bill H.R. 2264, An act to authorize appropriations for fiscal year 2004 
to carry out the Congo Basin Forest Partnership program, and for other 
purposes; as follows:

       Amend the title so as to read: ``To authorize 
     appropriations for fiscal year 2004 to carry out the Congo 
     Basin Forest Partnership program, and for other purposes.''.
                                 ______
                                 
  SA 2230. Mr. FRIST (for Mr. Levin) proposed an amendment to the bill 
S. 1267, to amend the District of Columbia Home Rule Act to provide the 
District of Columbia with autonomy over its budgets, and for other 
purposes; as follows:

       At the appropriate place, insert the following: (p. 10, 
     after l. 2)

     SEC.  __. METERED CABS IN THE DISTRICT OF COLUMBIA.

       (a) In General.--Except as provided in subsection (b) and 
     not later than 1 year after the date of enactment of this 
     Act, the District of Columbia shall require all cabs licensed 
     in the District of Columbia to charge fares by a metered 
     system.
       (b) District of Columbia Opt Out.--The District of Columbia 
     may cancel the requirements of subsection (a) by adopting an 
     ordinance that specifically states that the District of 
     Columbia opts out of the requirement to implement a metered 
     system under subsection (a).
                                 ______
                                 
  SA 2231. Mr. FRIST (for Mr. Hatch) proposed an amendment to the bill 
S. 1177, to prevent tobacco smuggling, to ensure the collection of all 
tobacco

[[Page 32335]]

taxes, and for other purposes; as follows:

       On page 17, between lines 23 and 24, insert the following:
       (2) in paragraph (5)--
       (A) by inserting ``, local, or Tribal'' after ``the 
     State'';
       (B) by striking ``administer the cigarette tax law'' and 
     inserting ``collect the tobacco tax or administer the tax 
     law''; and
       (C) by inserting ``, locality, or Tribe, respectively'' 
     after ``a State''.
       On page 17, line 24, strike ``(2)'' and insert ``(3)''.
       On page 18, line 17, strike ``(3)'' and insert ``(4)''.
       On page 19, strike line 20 and insert the following:
     of the United States.
       ``(13) The term `Indian Country' has the meaning given that 
     term in section 1151 of title 18, United States Code, except 
     that within the State of Alaska that term applies only to the 
     Metlakatla Indian Community, Annette Island Reserve.
       ``(14) The term `Indian Tribe', `Tribe', or `Tribal' refers 
     to an Indian tribe as defined in the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 
     450b(e)) or as listed pursuant to section 104 of the 
     Federally Recognized Indian Tribe List Act of 1994 (Public 
     Law 103-454; 25 U.S.C. 479a-1).
       ``(15) The term `tobacco tax administrator', in the case of 
     a State, local, or Tribal government, means the official of 
     the government duly authorized to collect the tobacco tax or 
     administer the tax law of the government.''.
       On page 20, line 4, strike ``and''.
       On page 20, between lines 4 and 5, insert the following:
       (ii) by inserting ``, locality, or Indian Country of an 
     Indian Tribe'' after ``a State''; and
       On page 20, line 5, strike ``(ii)'' and insert ``(iii)''.
       On page 20, strike lines 8 through 14 and insert the 
     following:
       (B) in paragraph (1)--
       (i) by striking ``administrator of the State'' and 
     inserting ``administrators of the State and place''; and
       (ii) by striking ``; and'' and inserting the following: ``, 
     as well as telephone numbers for each place of business, a 
     principal electronic mail address, any website addresses, and 
     the name, address, and telephone number of an agent in the 
     State authorized to accept service on behalf of such 
     person;'';
       On page 20, strike lines 15 through 19, and insert the 
     following:
       (C) in paragraph (2), by striking ``and the quantity 
     thereof.'' and inserting ``the quantity thereof, and the 
     name, address, and phone number of the person delivering the 
     shipment to the recipient on behalf of the delivery seller, 
     with all invoice or memoranda information relating to 
     specific customers to be organized by city or town and by zip 
     code; and''; and
       (D) by adding at the end the following new paragraph:
       ``(3) with respect to each memorandum or invoice filed with 
     a State under paragraph (2), also file copies of such 
     memorandum or invoice with the tobacco tax administrators and 
     chief law enforcement officers of the local governments and 
     Indian Tribes operating within the borders of the State that 
     apply their own local or Tribal taxes on cigarettes or 
     smokeless tobacco.''; and
       On page 21, line 4, strike ``Each'' and insert ``With 
     respect to delivery sales into a specific State and place, 
     each''.
       On page 21, line 9, insert ``, local, Tribal,'' after ``all 
     State''.
       On page 21, beginning on line 10, strike ``that occur 
     entirely within the State'' and insert ``as if such delivery 
     sales occurred entirely within the specific State and 
     place''.
       On page 21, strike line 14.
       On page 21, line 15, strike ``(C)'' and insert ``(B)''.
       On page 21, line 17, strike ``(D)'' and insert ``(C)''.
       On page 22, line 3, strike ``AND SALES''.
       On page 22, line 14, strike ``by State'' and insert ``by 
     the State, and within such State, by the city or town and by 
     zip code,''.
       On page 22, beginning on line 20, strike ``attorneys 
     general'' and all that follows through ``United States'' and 
     insert ``to local governments and Indian Tribes that apply 
     their own local or Tribal taxes on cigarettes or smokeless 
     tobacco, to the attorneys general of the States, to the chief 
     law enforcement officers of such local governments and Indian 
     Tribes, and to the Attorney General of the United States''.
       On page 22, strike line 24 and all that follows through 
     page 23, line 12, and insert the following:
       ``(d)(1) Except as provided in paragraph (2), no cigarettes 
     or smokeless tobacco may be delivered pursuant to a delivery 
     sale in interstate commerce unless in advance of the 
     delivery--
       ``(A) any cigarette or smokeless tobacco excise tax that is 
     imposed by the State in which the cigarettes or smokeless 
     tobacco are to be delivered has been paid to the State;
       ``(B) any cigarette or smokeless tobacco excise tax that is 
     imposed by the local government of the place in which the 
     cigarette or smokeless tobacco are to be delivered has been 
     paid to the local government; and
       ``(C) any required stamps or other indicia that such excise 
     tax has been paid are properly affixed or applied to the 
     cigarettes or smokeless tobacco.
       ``(2) Paragraph (1) does not apply to a delivery sale of 
     smokeless tobacco if the law of the State or local government 
     of the place where the smokeless tobacco is to be delivered 
     requires or otherwise provides that delivery sellers collect 
     the excise tax from the consumer and remit the excise tax to 
     the State or local government, and the delivery seller 
     complies with the requirement.
       On page 23, line 13, insert after ``Each State'' the 
     following: ``, and each local government or Indian Tribal 
     government that levies a tax subject to subsection (a)(3),''.
       On page 23, line 15, strike ``such State. If a State'' and 
     insert after ``such State, locality, or Indian Tribe. If a 
     State, local government, or Indian Tribe''.
       On page 23, line 18, insert after ``such State'' the 
     following: ``or locality or in the Indian Country of such 
     Indian Tribe''.
       On page 23, line 20, insert after ``Each State'' the 
     following: ``, and each local government or Indian Tribal 
     government that levies a tax subject to subsection (a)(3),''.
       On page 23, line 22, insert ``, locality, or Indian Tribe'' 
     after ``such State''.
       On page 23, line 23, insert after ``A State'' the 
     following: ``, locality, or Indian Tribal government''.
       On page 24, line 4, insert after ``a State'' the following: 
     ``, local government, or Indian Tribal government''.
       On page 24, line 8, insert after ``State'' the following: 
     ``or locality or in the Indian Country of such Indian 
     Tribe''.
       On page 24, strike line 21 and all that follows through 
     page 25, line 2, and insert the following:
       (2) in subsection (a), as so designated--
       (A) by inserting ``(except for a State, local, or Tribal 
     government)'' after ``this Act''; and
       (B) by striking ``shall be guilty of a misdemeanor and 
     shall be fined not more than $1,000, or imprisoned not more 
     than 6 months'' and inserting ``shall be guilty of a felony, 
     fined under subchapter C of chapter 227 of title 18, United 
     States Code, imprisoned not more than three years, or both''; 
     and
       On page 26, strike line 3 and all that follows through page 
     27, line 11, and insert the following:
       ``(b) The Attorney General of the United States shall 
     administer and enforce the provisions of this Act.
       ``(c)(1)(A) A State, through its attorney general (or a 
     designee thereof), or a local government or Indian Tribe that 
     levies a tax subject to section 2A(a)(3), through its chief 
     law enforcement officer (or a designee thereof), may bring an 
     action in the United States district courts to prevent and 
     restrain violations of this Act by any person (or by any 
     person controlling such person) or to obtain any other 
     appropriate relief from any person (or from any person 
     controlling such person) for violations of this Act, 
     including civil penalties, money damages, and injunctive or 
     other equitable relief.
       ``(B) Nothing in this Act shall be deemed to abrogate or 
     constitute a waiver of any sovereign immunity of a State or 
     local government or Indian Tribe against any unconsented 
     lawsuit under this Act, or otherwise to restrict, expand, or 
     modify any sovereign immunity of a State or local government 
     or Indian Tribe.
       ``(2) A State, through its attorney general, or a local 
     government or Indian Tribe that levies a tax subject to 
     section 2A(a)(3), through its chief law enforcement officer 
     (or a designee thereof), may provide evidence of a violation 
     of this Act by any person not subject to State, local, or 
     Tribal government enforcement actions for violations of this 
     Act to the Attorney General of the United States or a United 
     State Attorney, who shall take appropriate actions to enforce 
     the provisions of this Act.
       ``(3)(A) Notwithstanding any other provision of law and 
     subject to subparagraph (B), an amount equal to 50 percent of 
     any criminal and civil penalties collected by the United 
     States Government in enforcing the provisions of this Act 
     shall be available to the Department of Justice for purposes 
     of enforcing the provisions of this Act and other laws 
     relating to contraband tobacco products.
       ``(B) Of the amount available to the Department under 
     subparagraph (A), not less than 50 percent shall be made 
     available only to the agencies and offices within the 
     Department that were responsible for the enforcement actions 
     in which the penalties concerned were imposed.
       ``(4) The remedies available under this subsection are in 
     addition to any other remedies available under Federal, 
     State, local, Tribal, or other law.
       ``(5) Nothing in this Act shall be construed to expand, 
     restrict, or otherwise modify any right of an authorized 
     State official to proceed in State court, or take other 
     enforcement actions, on the basis of an alleged violation of 
     State or other law.
       ``(6) Nothing in this Act shall be construed to expand, 
     restrict, or otherwise modify any right of an authorized 
     Indian Tribal government official to proceed in Tribal court, 
     or take other enforcement actions, on the basis of an alleged 
     violation of Tribal law.

[[Page 32336]]

       ``(7) Nothing in this Act shall be construed to expand, 
     restrict, or otherwise modify any right of an authorized 
     local government official to proceed in State court, or take 
     other enforcement actions, on the basis of an alleged 
     violation of local or other law.
       ``(d) Any person who holds a permit under section 5712 of 
     the Internal Revenue Code of 1986 may bring an action in the 
     United States district courts to prevent and restrain 
     violations of this Act by any person (or by any person 
     controlling such person) other than a State, local, or Tribal 
     government.
       ``(e)(1) Any person who commences a civil action under 
     subsection (d) shall inform the Attorney General of the 
     United States of the action.
       ``(2) It is the sense of Congress that any attorney general 
     of a State, or chief law enforcement officer of a locality or 
     Tribe, who commences a civil action under this section should 
     inform the Attorney General of the United States of the 
     action.
       ``(f)(1) The Attorney General of the United States shall 
     make available to the public, by posting such information on 
     the Internet and by other means, information about all 
     enforcement actions undertaken by the Attorney General or 
     United States Attorneys, or reported to the Attorney General, 
     under this section, including information on the resolution 
     of such actions and, in particular, information on how the 
     Attorney General and the United States Attorney have 
     responded to referrals of evidence of violations pursuant to 
     subsection (b)(2).
       ``(2) The Attorney General shall submit to Congress each 
     year a report containing the information described in 
     paragraph (1).''.
       On page 27, line 20, strike ``The transmission'' and insert 
     ``(1)'' Except as provided in paragraph (2), the 
     transmission''.
       On page 28, strike line 2 and insert the following:
     shall not be deposited in or carried through the mails.
       ``(2) Paragraph (1) shall apply only to States that are 
     contiguous with at least one other State of the United 
     States.''.
       On page 29, line 4, strike ``and''.
       On page 29, line 25, insert before the semicolon the 
     following: ``or, for smokeless tobacco found in Indian 
     Country, is licensed or otherwise authorized by the Tribal 
     government of such Indian Country to account for and pay 
     smokeless tobacco taxes imposed by the Tribal government''.
       On page 30, line 6, insert ``or a Tribe'' after ``a 
     State''.
       On page 30, beginning on line 8, strike ``or a State 
     (including any political subdivision of a State)'' and insert 
     ``a State (including any political subdivision of a State), 
     or a Tribe (including any political subdivision of a 
     Tribe)''.
       On page 30, line 11, strike ``duties.'' and insert 
     ``duties;''.
       On page 30, after line 24, add the following:
       (c) Additional Definitional Matters.--Section 2341 of such 
     title is further amended--
       (1) in paragraph (2), as amended by subsection (a)(1) of 
     this section--
       (A) in the matter preceding subparagraph (A), by striking 
     ``State cigarette taxes in the State where such cigarettes 
     are found, if the State'' and inserting ``State, local, or 
     Tribal cigarette taxes in the State, locality, or Indian 
     Country where such cigarettes are found, if the State, local 
     or Tribal government'';
       (B) in subparagraph (C)(i), by inserting before the 
     semicolon the following: ``, or, for cigarettes found in 
     Indian County, is licensed or otherwise authorized by the 
     Tribal government of such Indian Country to account for and 
     pay cigarette taxes imposed by the Tribal government''; and
       (C) in subparagraph (D)--
       (i) by inserting ``or a Tribe'' after ``a State'' the first 
     place it appears; and
       (ii) by striking ``or a State (or any political subdivision 
     of a State)'' and inserting ``, a State (or any political 
     subdivision of a State), or a Tribe (including any political 
     subdivision of a Tribe)'';
       (2) in paragraph (3), by inserting before the semicolon the 
     following: ``, or, for a carrier making a delivery entirely 
     within Indian Country, under equivalent operating authority 
     from the Indian Tribal government of such Indian Country''; 
     and
       (3) by adding at the end the following new paragraphs:
       ``(8) the term `Indian Country' has the meaning given that 
     term in section 1151 of title 18, United States Code, except 
     that within the State of Alaska that term applies only to the 
     Metlakatla Indian Community, Annette Island Reserve; and
       ``(9) the term `Indian Tribe', `Tribe', or `Tribal' refers 
     to an Indian tribe as defined in the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 
     450b(e)) or as listed pursuant to section 104 of the 
     Federally Recognized Indian Tribe List Act of 1994 (Public 
     Law 103-454; 25 U.S.C. 479a-1).''.
       On page 31, line 1, strike ``(c)'' and insert ``(d)''.
       On page 32, line 20, insert before the period the 
     following: ``, and to the chief law enforcement officer and 
     tax administrator of the Tribe for shipments, deliveries or 
     distributions that originated or concluded on the Indian 
     Country of the Indian Tribe''.
       On page 33, line 19, strike ``(d)'' and insert ``(e)''.
       On page 34, between lines 3 and 4, insert the following:
       (f) Effect on State, Local, and Tribal Law.--Section 2345 
     of that title is amended--
       (1) in subsection (a), by striking ``a State to enact and 
     enforce'' and inserting ``a State, local government, or Tribe 
     to enact and enforce its own''; and
       (2) in subsection (b), by striking ``of States, through 
     interstate compact or otherwise, to provide for the 
     administration of State'' and inserting ``of State, local, or 
     Tribal governments, through interstate compact or otherwise, 
     to provide for the administration of State, local, or 
     Tribal''.
       On page 34, line 4, strike ``(e)'' and insert ``(g)''.
       On page 34, line 10, insert after ``attorney general,'' the 
     following: ``a local government or Indian Tribe, through its 
     chief law enforcement officer (or a designee thereof),''.
       On page 34, line 15, insert before the period the 
     following: ``, except that any person who holds a permit 
     under section 5712 of the Internal Revenue Code of 1986 may 
     not bring such an action against a State, local, or Tribal 
     government''.
       On page 34, line 16, insert after ``attorney general,'' the 
     following: ``, or a local government or Indian Tribe, through 
     its chief law enforcement officer (or a designee thereof),''.
       On page 34, line 21, add after the period the following: 
     ``Nothing in this chapter shall be deemed to abrogate or 
     constitute a waiver of any sovereign immunity of a State or 
     local government or Indian Tribe against any unconsented 
     lawsuit under this chapter, or otherwise to restrict, expand, 
     or modify any sovereign immunity of a State or local 
     government or Indian Tribe.''.
       On page 34, line 23, insert ``local, Tribal,'' after 
     ``State,''.
       On page 35, strike lines 1 through 4 and insert the 
     following:
       ``(4) Nothing in this chapter shall be construed to expand, 
     restrict, or otherwise modify any right of an authorized 
     State official to proceed in State court, or take other 
     enforcement actions, on the basis of an alleged violation of 
     State or other law.
       ``(5) Nothing in this chapter shall be construed to expand, 
     restrict, or otherwise modify any right of an authorized 
     Indian Tribal government official to proceed in Tribal court, 
     or take other enforcement actions, on the basis of an alleged 
     violation of Tribal law.
       ``(6) Nothing in this chapter shall be construed to expand, 
     restrict, or otherwise modify any right of an authorized 
     local government official to proceed in State court, or take 
     other enforcement actions, on the basis of an alleged 
     violation of local or other law.''.
       On page 35, line 5, strike ``(f)'' and insert ``(h)''.
       On page 35, between lines 8 and 9, insert the following:
       (2) The section heading for section 2345 of such title is 
     amended to read as follows:

     ``Sec. 2345. Effect on State, Tribal, and local law''.

       On page 35, strike lines 9 through the matter preceding 
     line 12 and insert the following:
       (3) The table of sections at the beginning of chapter 114 
     of that title is amended--
       (A) by striking the item relating to section 2343 and 
     inserting the following new item:

``2343. Recordkeeping, reporting, and inspection.'';

     and
       (B) by striking the item relating to section 2345 and 
     insert the following new item:

``2345. Effect on State, Tribal, and local law.''.

       On page 35, line 12, strike ``(3)'' and insert ``(4)''.
       On page 35, strike line 20 and all that follows through 
     page 37, line 19, and insert the following:

     SEC. 5. COMPLIANCE WITH MODEL STATUTE OR QUALIFYING STATUTE.

       (a) In General.--A Tobacco Product Manufacturer or importer 
     may not sell in, deliver to, or place for delivery sale, or 
     cause to be sold in, delivered to, or placed for delivery 
     sale in, a State that is a party to the Master Settlement 
     Agreement any cigarette manufactured by a Tobacco Product 
     Manufacturer that is not in full compliance with the terms of 
     the Model Statute or Qualifying Statute enacted by such State 
     requiring funds to be placed into a qualified escrow account 
     under specified conditions, or any regulations promulgated 
     pursuant to such terms.
       (b) Jurisdiction to Prevent and Restrain Violations.--(1) 
     The United States district courts shall have jurisdiction to 
     prevent and restrain violations of subsection (a) in 
     accordance with this subsection.
       (2) A State, through its attorney general, may bring an 
     action in the United States district courts to prevent and 
     restrain violations of subsection (a) by any person (or by 
     any person controlling such person).
       (3) In any action under paragraph (2), a State, through its 
     attorney general, shall be entitled to reasonable attorney 
     fees from a person found to have willfully and knowingly 
     violated subsection (a).
       (4) The remedy available under paragraph (2) is in addition 
     to any other remedies available under Federal, State, or 
     other law.
       (5) Nothing in this subsection shall be construed to 
     prohibit an authorized State official from proceeding in 
     State court or taking

[[Page 32337]]

     other enforcement actions on the basis of an alleged 
     violation of State or other law.
       (6) The Attorney General may administer and enforce 
     subsection (a).
       (c) Definitions.--In this section:
       On page 38, between lines 6 and 7, insert the following:
       (3) Importer.--The term ``importer'' means each of the 
     following:
       (A) Any person in the United States to whom non-tax-paid 
     tobacco products manufactured in a foreign country, Puerto 
     Rico, the Virgin Islands, or a possession of the United 
     States are shipped or consigned.
       (B) Any person who removes cigars or cigarettes for sale or 
     consumption in the United States from a customs bonded 
     manufacturing warehouse.
       (C) Any person who smuggles or otherwise unlawfully brings 
     tobacco products into the United States.
       On page 38, line 7, strike ``(3)'' and insert ``(4)''.
       On page 38, line 11, strike ``(4)'' and insert ``(5)''.
       On page 39, line 1, strike ``(5)'' and insert ``(6)''.
       On page 41, strike line 18 and insert the following:

     SEC. 8. COMPLIANCE WITH TARIFF ACT OF 1930.

       (a) Inapplicability of Exemptions from Requirements for 
     Entry of Certain Cigarettes.--Subsection (b)(1) of section 
     802 of the Tariff Act of 1930 (19 U.S.C. 1681a) is amended by 
     adding at the end the following new sentence: ``The preceding 
     sentence shall not apply to any cigarettes sold in connection 
     with a delivery sale (as that term is defined in section 1 of 
     the Act of October 19, 1949 (15 U.S.C. 375; commonly referred 
     to as the `Jenkins Act')).''.
       (b) State and Tribal Access to Customs Certifications.--
     Section 802 of that Act is further amended by adding at the 
     end the following new subsection:
       ``(d) State and Tribal Access to Customs Certifications.--A 
     State, through its attorney general, and an Indian tribe (as 
     that term is defined in the Indian Self-Determination and 
     Education Assistance Act (25 U.S.C. 450b(e)) through its 
     chief law enforcement officer, shall be entitled to obtain 
     copies of any certification required pursuant to subsection 
     (c) directly--
       ``(1) upon request to the agency of the United States 
     responsible for collecting such certification; or
       ``(2) upon request to the importer, manufacturer, or 
     authorized official of such importer or manufacturer.''.
       (c) Enforcement Provisions.--Section 803 of such Act (19 
     U.S.C. 1681b) is amended--
       (1) in subsection (b)--
       (A) in the first sentence--
       (i) by inserting ``any of'' before ``the United States'' 
     the first and second places it appears; and
       (ii) by inserting before the period the following: ``, to 
     any State in which such tobacco product, cigarette papers, or 
     tube was imported, or to the Indian Tribe of any Indian 
     Country (as that term is defined in section 1151 of title 18, 
     United States Code) in which such tobacco product, cigarette 
     papers, or tube was imported''; and
       (B) in the second sentence, by inserting ``, or to any 
     State or Indian Tribe,'' after ``the United States''; and
       (2) by adding at the end the following new subsection:
       ``(c) Actions by States and Others.--
       ``(1) In general.--Any person who holds a permit under 
     section 5712 of the Internal Revenue Code of 1986 may bring 
     an action in the United States district courts to prevent and 
     restrain violations of this title by any person (or by any 
     person controlling such person), other than by a State, 
     local, or Tribal government.
       ``(2) Relief for state, local, and tribal governments.--A 
     State, through its attorney general, or a local government or 
     Tribe Tribe, through its chief law enforcement officer (or a 
     designee thereof), may in a civil action under this title to 
     prevent and restrain violations of this title by any person 
     (or by any person controlling such person) or to obtain any 
     other appropriate relief for violations of this title by any 
     person (or from any person controlling such person), 
     including civil penalties, money damages, and injunctive or 
     other equitable relief.
       ``(3) Construction generally.--
       ``(A) In general.--Nothing in this subsection shall be 
     deemed to abrogate or constitute a waiver of any sovereign 
     immunity of a State or local government or Indian Tribe 
     against any unconsented lawsuit under this title or to 
     otherwise restrict, expand, of modify any sovereign immunity 
     of a State local government or Indian Tribe.
       ``(B) Construction with other relief.--The remedies 
     available under this subsection are in addition to any other 
     remedies available under Federal, State, local, Tribal, or 
     other law.
       ``(4) Construction with forfeiture provisions.--Nothing in 
     this subsection shall be construed to require a State or 
     Indian Tribe to first bring an action pursuant to paragraph 
     (1) when pursuing relief under subsection (b).
       ``(d) Construction with Other Authorities.--
       ``(1) State authorities.--Nothing in this title shall be 
     construed to expand, restrict, or otherwise modify the right 
     of an authorized State official from proceeding in State 
     court, or taking other enforcement actions, on the basis of 
     alleged violation of State or other law.
       ``(2) Tribal authorities.--Nothing in this title shall be 
     construed to expand, restrict, or otherwise modify the right 
     of an authorized Indian Tribal government official from 
     proceeding in Tribal court, or taking other enforcement 
     actions, on the basis of alleged violation of Tribal law.
       (d) Inclusion of Smokeless Tobacco.--(1) Sections 802 and 
     803(a) of such Act are further amended by inserting ``or 
     smokeless tobacco products'' after ``cigarettes'' each place 
     it appears.
       (2) Section 802 of such Act is further amended--
       (A) in subsection (a)--
       (i) in paragraph (1), by inserting ``or section 4 of the 
     Comprehensive Smokeless Tobacco Health Education Act of 1986 
     (15 U.S.C. 4403), respectively'' after ``section 7 of the 
     Federal Cigarette Labeling and Advertising Act (15 U.S.C. 
     1335a)'';
       (ii) in paragraph (2), by inserting ``or section 3 of the 
     Comprehensive Smokeless Tobacco Health Education Act of 1986 
     (15 U.S.C. 4402), respectively,'' after ``section 4 of the 
     Federal Cigarette Labeling and Advertising Act (15 U.S.C. 
     1333)''; and
       (iii) in paragraph (3), by inserting ``or section 3(c) of 
     the Comprehensive Smokeless Tobacco Health Education Act of 
     1986 (15 U.S.C. 4402(c)), respectively,'' after ``section 
     4(c) of the Federal Cigarette Labeling and Advertising Act 
     (15 U.S.C. 1333(c))'';
       (B) in subsection (b)--
       (i) in the paragraph caption of paragraph (1), by inserting 
     ``or smokeless tobacco'' after ``cigarettes''; and
       (ii) in the paragraph caption of paragraphs (2) and (3), by 
     inserting ``or smokeless tobacco'' after ``Cigarettes''; and
       (C) in subsection (c)--
       (i) in the subsection caption, by inserting ``or Smokeless 
     Tobacco'' after ``Cigarette'';
       (ii) in paragraph (1), by inserting ``or section 4 of the 
     Comprehensive Smokeless Tobacco Health Education Act of 1986 
     (15 U.S.C. 4403), respectively'' after ``section 7 of the 
     Federal Cigarette Labeling and Advertising Act (15 U.S.C. 
     1335a)'';
       (iii) in paragraph (2)(A), ``or section 3 of the 
     Comprehensive Smokeless Tobacco Health Education Act of 1986 
     (15 U.S.C. 4402), respectively,'' after ``section 4 of the 
     Federal Cigarette Labeling and Advertising Act (15 U.S.C. 
     1333)''; and
       (iv) in paragraph (2)(B), by inserting ``or section 3(c) of 
     the Comprehensive Smokeless Tobacco Health Education Act of 
     1986 (15 U.S.C. 4402(c)), respectively'' after ``section 4(c) 
     of the Federal Cigarette Labeling and Advertising Act (15 
     U.S.C. 1333(c))''.
       (3) Section 803(c) of such Act, as amended by subsection 
     (b)(1) of this section, is further amended by inserting ``, 
     or any smokeless tobacco product,'' after ``or tube'' the 
     first place it appears.
       (4)(A) The heading of title VIII of such Act is amended by 
     inserting ``AND SMOKELESS TOBACCO'' after ``CIGARETTES''.
       (B) The heading of section 802 of such Act is amended by 
     inserting ``AND SMOKELESS TOBACCO'' after ``CIGARETTES''.

     SEC. 9. EXCLUSIONS REGARDING INDIAN TRIBES AND TRIBAL 
                   MATTERS.

       (a) In General.--Nothing in this Act or the amendments made 
     by this Act is intended nor shall be construed to affect, 
     amend, or modify--
       (1) any agreements, compacts, or other intergovernmental 
     arrangements between any State or local government and any 
     government of an Indian tribe (as that term is defined in the 
     Indian Self-Determination and Education Assistance Act (25 
     U.S.C. 450b(e)) relating to the collection of taxes on 
     cigarettes or smokeless tobacco sold in Indian Country (as 
     that term is defined section 1151 of title 18, United States 
     Code);
       (2) any State laws that authorize or otherwise pertain to 
     any such intergovernmental arrangements or create special 
     rules or procedures for the collection of State, local, or 
     tribal taxes on cigarettes or smokeless tobacco sold in 
     Indian Country;
       (3) any limitations under existing Federal law, including 
     Federal common law and treaties, on State, local, and tribal 
     tax and regulatory authority with respect to the sale, use, 
     or distribution of cigarettes and smokeless tobacco by or to 
     Indian Tribes or tribal members or in Indian Country;
       (4) any existing Federal law, including Federal common law 
     and treaties, regarding State jurisdiction, or lack thereof, 
     over any Tribe, tribal members or tribal reservations; and
       (5) any existing State or local government authority to 
     bring enforcement actions against persons located in Indian 
     Country.
       (b) Coordination of Law Enforcement.--Nothing in this Act 
     or the amendments made by this Act shall be construed to 
     inhibit or otherwise affect any coordinated law enforcement 
     effort by 1 or more States or other jurisdictions, including 
     Indian Tribes, through interstate compact or otherwise, 
     that--
       (1) provides for the administration of tobacco product laws 
     or laws pertaining to interstate sales or other sales of 
     tobacco products;

[[Page 32338]]

       (2) provides for the seizure of tobacco products or other 
     property related to a violation of such laws; or
       (3) establishes cooperative programs for the administration 
     of such laws.
       (c) Treatment of State and Local Governments.--
     Notwithstanding any other provision of this Act, the 
     provisions of this Act are not intended and shall not be 
     construed to authorize, deputize, or commission States or 
     local governments as instrumentalities of the United States.
       (d) Enforcement within Indian Country.--Nothing in this Act 
     or the amendments made by this Act is intended to prohibit, 
     limit, or restrict enforcement by the Attorney General of the 
     United States of the provisions herein within Indian Country.
       (e) Ambiguity.--Any ambiguity between the language of this 
     section or its application, and any other provision of this 
     Act shall be resolved in favor of this section.

     SEC. 10. EFFECTIVE DATE.

                          ____________________