[Congressional Record (Bound Edition), Volume 149 (2003), Part 6]
[Senate]
[Pages 7754-7772]
[From the U.S. Government Publishing Office, www.gpo.gov]




          STATEMENTS ON INTRODUCED BILLS AND JOINT RESOLUTIONS

      By Mr. BINGAMAN (for himself, Mrs. Feinstein, Mr. Dayton, and Mr. 
        Leahy):
  S. 725. A bill to amend the Transportation Equity Act for the 21st 
Century to provide from the Highway Trust Fund additional funding for 
Indian reservation roads, and for other purposes; to the Committee on 
Indian Affairs.
  Mr. BINGAMAN. Mr. President, I am very pleased today to introduce the 
Tribal Transportation Program Improvement Act of 2003. The bill is 
cosponsored by Senators Feinstein, Dayton, and Leahy.
  The goal of this legislation is to help provide safe and efficient 
transportation throughout Indian country. At the same time, this bill 
will help promote economic development, self-determination, and 
employment of Indians and Alaska Natives.
  Roads that serve Indian Country are part of one single national 
transportation network and Congress has long recognized the importance 
of improving transportation in Indian Country. I believe the Federal 
Government has an obligation to provide safe and efficient 
transportation for all tribes. Indians pay the same Federal gasoline, 
tire, and other taxes, as all other Americans and are entitled to the 
same quality of transportation.
  This bill is a 6-year reauthorization and improvement of the Indian 
Reservation Roads program, which funds transportation programs for all 
tribes. This year, Congress must reauthorize the IRR program, along 
with all other transportation programs in TEA-21. I am introducing the 
bill today as the first step in the reauthorization process.
  The Indian Reservation Roads Program was established in 1928, and in 
1946 the BIA and the FHWA executed the first memorandum of agreement 
for joint administration of the program. Since 1982, funding for tribal 
transportation programs has been provided from the federal Highway 
Trust Fund. Major changes to the program were again made in 1998 as 
part of TEA-21.
  Today, the Indian Reservation Roads program serves more than 560 
federally recognized Indian tribes and Alaskan native villages in 33 
States. The IRR system comprises 25,700 miles of BIA and tribally owned 
roads and another 25,600 miles of State, county, and local government 
public roads. There are also 4,115 bridges on the IRR system, and one 
ferryboat operation, the Inchelium-Gifford Ferry in Washington State.
  Of the 25,700 miles of BIA and tribal roads on the IRR system, only 
about one quarter are paved. Of the 25,600 miles of State, county, or 
local government IRR roads, about 40 percent are paved. In total, over 
two-thirds of all IRR roads remain unpaved. Many of these unpaved roads 
are not passable in bad weather. In addition, about 140 of the 753 
bridges owned by the BIA are currently rated as deficient.
  Some of the roads on tribal lands resemble roads in third-world 
countries. Some are little more than wheel tracks. Even though the IRR 
system has perhaps the most rudimentary infrastructure of any 
transportation network in the country, over 2 billion vehicle miles are 
annually traveled on the system.
  According to the Federal Highway Administration's most recent 
assessment of the nation's highways, bridges, and transit, only 34 
percent of paved IRR roads are rated in good condition, 37 percent are 
rated only fair, and 29 percent are rated poor. Of course, these 
ratings apply only to the paved roads on the IRR system, not the 33,000 
miles of dirt and gravel roads.
  The poor road quality also has a serious impact on highway safety. 
According to FHWA, the highway fatality rate on Indian Reservation 
Roads is four times above the national average. Automobile accidents 
are the number one cause of death among young American Indians.

[[Page 7755]]

  Reflecting the current poor state of roads throughout Indian country, 
FHWA now estimates the backlog of improvement needs for IRR roads at a 
whopping $6.8 billion.
  The current authorized funding level for IRR is $275 million from the 
highway trust fund. As required in TEA-21, the BIA distributes highway 
funding to federally recognized tribes each year using a relative need 
formula. This formula reflects the cost to improve eligible roads, road 
usage, and population of each tribe. Some modifications to the formula 
are currently being made as part of a negotiated rule making.
  I hope all Senators recognize the broad scope of the IRR program and 
its impact on 33 of the 50 States. I'd like to read a list of the 
fiscal year 2002 distribution of IRR funding in the States that have 
tribal roads and ask unanimous consent that the table be printed in the 
Record.
  There being no objection, the table was ordered to be printed in the 
Record, as follows:


 Exhibit 1.--Approximate distribution of FY02 Indian Reservation Road 
                                Funding


                                                             FY2002 IRR
        State                                         Funding to Tribes
Arizona......................................................56,100,000
Oklahoma.....................................................34,000,000
New Mexico...................................................31,900,000
Alaska.......................................................18,500,000
Montana......................................................13,600,000
South Dakota.................................................11,700,000
Washington...................................................10,100,000
Wisconsin.....................................................6,600,000
North Dakota..................................................6,500,000
Minnesota.....................................................5,780,000
California....................................................5,100,000
Oregon........................................................3,900,000
Utah..........................................................2,970,000
Idaho.........................................................2,850,000
Wyoming.......................................................2,070,000
Michigan......................................................1,560,000
Nevada........................................................1,290,000
North Carolina................................................1,190,000
Colorado......................................................1,100,000
New York........................................................949,000
Maine...........................................................890,000
Kansas..........................................................851,000
Mississippi.....................................................706,000
Nebraska........................................................626,000
Florida.........................................................550,000
Texas...........................................................220,000
Louisiana.......................................................197,000
Rhode Island....................................................162,000
Iowa............................................................126,000
Alabama.........................................................100,000
South Carolina...................................................89,000
Connecticut......................................................83,000
Massachusetts....................................................47,000

Source: BIA. Data are approximate because some reservations and roads 
extend into more than one state.

  I know every Senator is keenly aware of the importance of 
transportation to the basic quality of life and economic development of 
a region. Safe roads are essential for children to get to school, for 
sick and elderly to receive basic health and medical treatment, and for 
food and other necessities to move to shops and to consumers. Moreover, 
transportation is critical to any community's efforts to sustain robust 
economies and to attract new jobs and businesses.
  Unfortunately, most tribes today lack the basic road systems that 
most of us take for granted. Indian communities continue to lag behind 
the rest of the Nation in quality of life and economic vitality. 
Unemployment rates in Indian country frequently top 50 percent and 
poverty rates often exceed 40 percent.
  The limited availability of housing and jobs on the reservation 
forces people to commute long distances everyday for work, school, 
health care, basic government services, shopping, or even to obtain 
drinking water.
  I'd now like to take a moment to discuss the impact of the Indian 
Reservation Roads Program on just one tribe, the Navajo Nation. I think 
most Senators know that Navajo is the largest federally recognized 
Indian tribe. The current membership is about 280,000 people. By 
itself, Navajo lands hold about one quarter of the entire Indian 
Reservation Roads program.
  The Navajo Reservation covers 17.1 million acres in the States of 
Arizona, New Mexico, and Utah. It is roughly the size of the State of 
West Virginia. The reservation includes the three satellite communities 
of Alamo, Ramah, and To'hajiilee in New Mexico.
  According to BIA, the Navajo IRR system includes 9,800 miles of 
public roads, or about 20 percent of all IRR roads. However, 78 percent 
of the roads within Navajo are unpaved. Because of the nature of the 
soil and terrain, many of the unpaved roads are impassable after snow 
or rain. Navajo estimates a current backlog of road construction 
projects totaling $2 billion.
  The safety of bridges is also a continuing concern on the Navajo 
reservation. Of the 173 bridges on Navajo, 51 are rated deficient. Of 
the deficient bridges, 27 must be completely replaced and the rest need 
major rehabilitation.
  The Navajo Nation also operates a transit system with 14 buses and 
three vans. The system carries 75,000 passengers each year. The system 
serves both Navajo people as well as the nearby communities of Gallup, 
Farmington, Flagstaff, and Winslow.
  Finally, the few roads that are being built on the Navajo Reservation 
are not being properly maintained. Funding for road maintenance is not 
part of the IRR program. Instead road maintenance is funded each year 
as part of the BIA's annual appropriation bill. Unfortunately, BIA's 
budget lags woefully behind the need for road maintenance. Each year 
the Navajo Region of BIA requests about $32 million to maintain about 
6000 miles of roads, but receives only about $6 million, or about 20 
percent of the funds needed just to maintain the existing roads.
  The bill I am introducing today will begin to address this crushing 
need for road construction and transit programs throughout Indian 
Country. The bill will benefit all tribes, both large and small. I'd 
like to briefly summarize the major provisions of the bill.
  First, the bill increases funding for the Indian Reservation Roads 
program to $2.775 billion for the six years from 2004 to 2009. Under 
TEA-21, the IRR program is currently authorized for $275 million per 
year. This level represents less than 1 percent of annual federal 
funding for road construction and rehabilitation. However, the 50,000 
miles of the IRR system represent about 5 percent of the Nation's 
957,000 miles of Federal-aid highways. I do believe the substantial 
increase in IRR funding in my bill is fully justified based on the very 
poor condition of so many IRR roads as well as the importance of 
transportation to economic development in Indian country.
  Second, the bill removes the obligation limitation from the Indian 
Reservation Roads program. This funding limitation was first applied to 
the IRR program in 1998 in TEA-21, and over the six years of TEA-21 the 
limitation will have cut about $31 million per year in much-needed 
funding out of IRR. The reduction for 2003 is about $36 million. The 
IRR was not subject to any obligation limitation from 1983 to 1997, and 
my bill restores the program to the status it had before 1998.
  Third, the bill restores the Indian Reservation Bridge Program with 
separate funding of $90 million over six years. TEA-21 had eliminated 
separate funding for the Indian reservation bridge program in 1998. In 
addition, the bill streamlines the bridge program by expanding the 
allowable uses of bridge funding to include planning, design, 
engineering, construction, and inspection of Indian reservation road 
bridges.
  Fourth, the bill increases the current limit for tribal 
transportation planning from 2 percent to 4 percent. These funds will 
be used by tribes to compile important transportation data and to 
forecast their future transportation needs and long-range plans. Many 
of the tribes have indicated they currently don't have funding for 
administrative capacity building, and the additional planning funds in 
my bill would address this need.
  Fifth, TEA-21 established a negotiated rule making for distribution 
of funds based on the relative needs of each tribe for transportation. 
To ensure the distribution is tied to actual needs, my bill requires 
the Secretary of Transportation to verify the existence of all roads 
that are part of the Indian reservation road system.
  Sixth, the bill establishes a pilot program, in accordance with the 
Indian Self-Determination and Education Act, P.L. 93-638, authorizing 
12 tribes to contract directly with FHWA for IRR funding to improve 
efficiency and streamline the administration of the program. The 12 
tribes will be selected to ensure representation from each region of 
the country.

[[Page 7756]]

  Seventh, the bill establishes a new six-year, $120 million tribal 
transportation safety program. Tribes may apply directly to the 
Department of Transportation for grants to improve transportation 
safety. The program parallels existing safety programs for the states.
  Eighth, I propose a new tribal transit program to provide direct 
funding to tribes from the Federal Transit Administration. The new 
program would parallel the existing Indian Reservation Roads program 
funded through FHWA. In general, while States may allocate to tribal 
areas some of their transit funding under the existing formula grant 
programs for transit for elderly and disabled, section 5210, and for 
non-urbanized areas, section 5311, they rarely do so. Because the 
tribes are at a disadvantage in having to compete for funding within 
the States, I believe we need a direct funding program to allow tribes 
to provide better transit services to young people, elderly, and others 
who lack access to private vehicles. The bill sets aside a very modest 
level of funding of $120 million over six years for the new tribal 
transit program.
  Ninth, the bill states the sense of Congress that the BIA should have 
sufficient funding to maintain all roads on the Indian Reservation 
Roads system. Maintenance of IRR roads is a Federal responsibility and 
adequate funding is needed to protect the Federal investment in 
transportation infrastructure. Federal funding for road maintenance is 
provided through the BIA's annual appropriations bill. Unfortunately, 
year after year, the Appropriations Committees have failed to provide 
adequate funding for maintenance. Funding for BIA's road maintenance 
program has typically been around $25 million per year about one-fifth 
of the level needed to protect the federal investment in IRR roads.
  The IRR system doesn't just serve Indian communities, but also 
visitors, including tourists, recreational, commercial and industrial 
users of roads and transit throughout Indian country. For the tribes, 
transportation is an important contributor to economic development, 
self-determination, and employment for all Indian communities. This 
bill represents a very modest, but important step toward providing 
basic transportation services throughout Indian country.
  The proposals in my bill are similar to many of the recommendations 
of the National Congress of American Indians' TEA-21 Reauthorization 
Task Force.
  I well appreciate that tribes in different regions of the country may 
have different views and proposals on how best to improve Indian 
transportation programs. I see my bill as just the first step in a 
yearlong process leading up to the reauthorization of TEA-21.
  It is essential that we begin this process as soon as possible 
because I believe the tribes are being shortchanged in annual federal 
funding. I was disappointed this year when the appropriations committee 
cut the funding for the IRR program in fiscal year 2003 to $238 
million, about $40 million below the 2002 level. At the same time, 
FY2003 highway funding for the states was increased slightly above the 
2002 level. I believe this year's reduction in IRR funding may reflect 
a lack of understanding on the part of many senators of the current 
poor state of transportation in Indian Country.
  To try to raise awareness, last year I circulated a ``dear 
colleague'' letter to the Chair and Ranking Members of the 
Transportation Appropriations Subcommittee to urge them to fund the IRR 
program at the full $275 million authorized level. The bipartisan 
letter, signed by eleven of my colleagues, laid out the case for full 
funding of the tribal transportation program in 2003.
  My goal in introducing the bill today is to start the process of 
improving IRR as soon as possible. The tribes cannot bear another cut 
in funding like occurred in 2003.
  I hope that Chairman Campbell and Vice Chairman Inouye of the 
Committee on Indian Affairs will soon hold hearings on the 
reauthorization of the Indian Reservation Roads Program. I look forward 
to working with them and the other members of the committee on 
developing a consensus proposal that is fair to all tribes.
  I ask unanimous consent that the text of the bill and the bipartisan 
letter be printed in the Record.
  There being no objection, the material was ordered to be printed in 
the Record, as follows:

                                 S. 725

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Tribal Transportation 
     Program Improvement Act of 2003''.

     SEC. 2. FINDINGS AND PURPOSE.

       (A) Findings.--Congress finds that--
       (1) because many Indian tribes are located in remote areas, 
     transportation is particularly important to the basic quality 
     of life and economic development of Indian tribes;
       (2) safe roads are essential for--
       (A) Indian children to travel to and from school;
       (B) sick and elderly individuals to receive basic health 
     care and medical treatment; and
       (C) food and other necessities to be delivered to shops and 
     consumers;
       (3) transportation is critical to the efforts of Indian 
     tribes to--
       (A) sustain robust economies; and
       (B) attract new jobs and businesses;
       (4) most Indian tribes lack the basic transportation 
     systems that other people in the United States take for 
     granted;
       (5) Indian communities continue to lag behind the rest of 
     the United States in quality of life and economic vitality;
       (6) unemployment rates in Indian country frequently exceed 
     50 percent, and poverty rates often exceed 40 percent;
       (7) the limited availability of housing and jobs on Indian 
     reservations forces people to commute long distances each day 
     to travel to work or school, obtain health care, take 
     advantage of basic government services, go shopping, or even 
     obtain drinking water;
       (8) the Indian reservation roads system established under 
     title 23, United States Code, comprises more than 50,000 
     miles of roads under the jurisdiction of the Bureau of Indian 
     Affairs and tribal, State, county, and local governments;
       (9) more than \2/3\ of those roads are not paved, and many 
     resemble roads in third-world countries;
       (10) as of the date of enactment of this Act, approximately 
     140 of the 753 bridges under the jurisdiction of the Bureau 
     of Indian Affairs are rated as being deficient;
       (11) The Indian reservation roads system serves both 
     Indians and the general public and is part of a unified 
     national road network;
       (12) even though the Indian reservation roads system is 
     perhaps the most rudimentary of any transportation network in 
     the United States, more than 2,000,000,000 vehicle miles are 
     traveled annually on the system;
       (13) the poor quality of so many Indian reservation roads 
     has a serious impact on high safety;
       (14) according to the Federal Highway Administration, the 
     highway fatality rate on Indian reservation roads is 4 times 
     the national average highway fatality rate on all roads;
       (15) automobile accidents are the primary cause of death 
     for young Indian individuals; and
       (16) the Federal Highway Administration estimates the 
     backlog of improvement needs for Indian reservation roads at 
     approximately $6,800,000,000.
       (b) Purpose.--The purpose of this Act is to reauthorize, 
     expand, and streamline the Indian reservation roads program 
     to improve transportation safety and better meet the needs of 
     Indian individuals and other members of the traveling public.

     SEC. 3. INDIAN RESERVATION ROADS.

       (a) Authorization of Appropriations.--Section 1101(a)(8)(A) 
     of the Transportation Equity Act for the 21st Century (112 
     Stat. 112) is amended by striking ``of such title'' and all 
     that follows and inserting ``of that title--
       ``(i) $225,000,000 for fiscal year 1998;
       ``(ii) $275,000,000 for each of fiscal years 1999 through 
     2003;
       ``(iii) $350,000,000 for fiscal year 2004;
       ``(iv) $425,000,000 for fiscal year 2005; and
       ``(v) $500,000,000 for each of fiscal years 2006 through 
     2009.''.
       (b) Obligation Ceiling.--Section 1102(c)(1) of the 
     Transportation Equity Act for the 21st Century (23 U.S.C. 104 
     note; 112 Stat. 116) is amended--
       (1) by striking ``distribute obligation'' and inserting the 
     following: ``distribute--
       ``(A) obligation'';
       (2) by inserting ``and'' after the semicolon at the end; 
     and
       (3) by adding at the end the following:
       ``(B) for any fiscal year after fiscal year 2003, any 
     amount of obligation authority made available for Indian 
     reservation road bridges under section 202(d)(4), and for 
     Indian reservation roads under section 204, of title 23, 
     United States Code;''.
       (c) Indian Reservation Road Bridges.--Section 202(d)(4) of 
     title 23, United States Code, is amended--
       (1) in subparagraph (B)--

[[Page 7757]]

       (A) by striking ``(B) Reservation.--Of the amounts'' and 
     all that follows through ``to replace,'' and inserting the 
     following:
       ``(B) Funding.--
       ``(i) Reservation of Funds.--Notwithstanding any other 
     provision of law, there is authorized to be appropriated from 
     the Highway Trust Fund $15,000,000 for each of fiscal years 
     2004 through 2009 to carry out planning, design, engineering, 
     construction, and inspection of projects to replace,''; and
       (B) by adding at the end the following:
       ``(ii) Availability.--Funds made available to carry out 
     this subparagraph shall be available for obligation in the 
     same manner as if the funds were apportioned under chapter 
     1.''; and
       (2) in subparagraph (D)--
       (A) by striking ``(D) Approval requirement.--'' and 
     inserting the following:
       ``(D) Approval and need require-
     ments.--''; and
       (B) by striking ``only on approval of the plans, 
     specifications, and estimates by the Secretary.'' and 
     inserting ``only--
       ``(i) on approval by the Secretary of plans, 
     specifications, and estimates relating to the projects; and
       ``(ii) in amounts directly proportional to the actual need 
     of each Indian reservation, as determined by the Secretary 
     based on the number of deficient bridges on each reservation 
     and the projected cost of rehabilitation of those bridges.''.
       (d) Fair and Equitable Distribution.--Section 202(d) of 
     title 23, United States Code, is amended by adding at the end 
     the following:
       ``(5) Fair and equitable distribution.--To ensure that the 
     distribution of funds to an Indian tribe under this 
     subsection is fair, equitable, and based on valid 
     transportation needs of the Indian tribe, the Secretary 
     shall--
       ``(A) verify the existence, as of the date of the 
     distribution, of all roads that are part of the Indian 
     reservation road system; and
       ``(B) distribute funds based only on those roads.''.
       (e) Indian Reservation Road Planning.--Section 204(j) of 
     title 23, United States Code, is amended in the first 
     sentence by striking ``2 percent'' and inserting ``4 
     percent''.

     SEC. 4. FEDERAL LANDS HIGHWAY PROGRAM DEMONSTRATION PROJECT.

       Section 202(d)(3) of title 23, United States Code, is 
     amended by adding at the end the following:
       ``(C) Federal lands highway program demonstration 
     project.--
       ``(i) In general.--The Secretary shall establish a 
     demonstration project under which all funds made available 
     under this title for Indian reservation roads and for highway 
     bridges located on Indian reservation roads as provided for 
     in subparagraph (A) shall be made available, on the request 
     of an affected Indian tribal government, to the Indian tribal 
     government for use in carrying out, in accordance with the 
     Indian Self-Determination and Education Assistance Act (25 
     U.S.C. 450 et seq.), contracts and agreements for the 
     planning, research, engineering, and construction described 
     in that subparagraph.
       ``(ii) Exclusion of agency participation.--In accordance 
     with subparagraph (B), all funds for Indian reservation roads 
     and for highway bridges located on Indian reservation roads 
     to which clause (i) applies shall be paid without regard to 
     the organizational level at which the Federal lands highway 
     program has previously carried out the programs, functions, 
     services, or activities involved.
       ``(iii) Selection of participating tribes.--
       ``(I) Participants.--
       ``(aa) In general.--For each fiscal year, the Secretary 
     shall select 12 geographically diverse Indian tribes from the 
     applicant pool described in subclause (II) to participate in 
     the demonstration project carried out under clause (i).
       ``(bb) Consortia.--Two or more Indian tribes that are 
     otherwise eligible to participate in a program or activity to 
     which this title applies may form a consortium to be 
     considered as a single tribe for the purpose of becoming part 
     of the applicant pool under subclause (II).
       ``(cc) Funding.--An Indian tribe participating in the pilot 
     program under this subparagraph shall receive funding in an 
     amount equal to the sum of the funding that the Indian tribe 
     would otherwise receive in accordance with the funding 
     formula established under the other provisions of this 
     subsection, and an additional percentage of that amount equal 
     to the percentage of funds withheld during the applicable 
     fiscal year for the road program management costs of the 
     Bureau of Indian Affairs under subsection (f)(1).
       ``(II) Applicant pool.--The applicant pool described in 
     this sub-clause shall consist of each Indian tribe (or 
     consortium) that--
       ``(aa) has successfully completed the planning phase 
     described in subclause (III);
       ``(bb) has requested participation in the demonstration 
     project under this subparagraph through the adoption of a 
     resolution or other official action by the tribal governing 
     body; and
       ``(cc) has demonstrated financial stability and financial 
     management capability in accordance with subclause (III) 
     during the 3-fiscal year period immediately preceding the 
     fiscal year for which participation under this subparagraph 
     is being requested.
       ``(III) Criteria for determining financial stability and 
     financial management capacity.--For the purpose of subclause 
     (II), evidence that, during the 3-year period referred to in 
     subclause (II)(cc), an Indian tribe had no uncorrected 
     significant and material audit exceptions in the required 
     annual audit of the Indian tribe's self-determination 
     contracts or self-governance funding agreements with any 
     Federal agency shall be conclusive evidence of the required 
     stability and capability.
       ``(IV) Planning phase.--
       ``(aa) In general.--An Indian tribe (or consortium) 
     requesting participation in the demonstration project under 
     this subparagraph shall include legal and budgetary research 
     and internal tribal government and organization preparation.
       ``(bb) Eligibility.--A tribe (or consortium) described in 
     item (aa) shall be eligible to receive a grant under this 
     subclause to plan and negotiate participation in a project 
     described in that item.''.

     SEC. 5. TRIBAL TRANSPORTATION SAFETY PROGRAM.

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

     ``Sec. 412. TRIBAL TRANSPORTATION SAFETY PROGRAM

       ``(a) Definition of Indian Tribe.--In this section, the 
     term `Indian tribe' has the meaning given the term in section 
     4 of the Indian Self-Determination and Education Assistance 
     Act (25 U.S.C. 450b).
       ``(b) Program.--
       ``(1) In general.--The Secretary shall carry out a program 
     to provide to eligible Indian tribes (as determined by the 
     Secretary) competitive grants for use in establishing tribal 
     transportation safety programs on--
       ``(A) Indian reservations; and
       ``(B) other land under the jurisdiction of an Indian tribe.
       ``(2) Use of funds.--Funds from a grant provided under 
     paragraph (1) may be used to carry out a project or 
     activity--
       ``(A) to prevent the operation of motor vehicles by 
     intoxicated individuals;
       ``(B) to promote increased seat belt use rates;
       ``(C) to eliminate hazardous locations on, or hazardous 
     sections or elements of--
       ``(i) a public road;
       ``(ii) a public surface transportation facility;
       ``(iii) a publicly-owned bicycle or pedestrian pathway or 
     trail; or
       ``(iv) a traffic calming measure;
       ``(D) to eliminate hazards relating to railway-highway 
     crossings; or
       ``(E) to increase transportation safety by any other means, 
     as determined by the Secretary.
       ``(c) Federal Share.--The federal share of the cost of 
     carrying out the program under this section shall be 100 
     percent.
       ``(d) Funding.--Notwithstanding any other provision of law, 
     there are authorized to be appropriated from the Highway 
     Trust Fund (other than the Mass Transit Account) to carry out 
     this section--
       ``(1) $10,000,000 for each of fiscal years 2004 and 2005;
       ``(2) $20,000,000 for each of fiscal years 2006 and 2007; 
     and
       ``(3) $30,000,000 for each of fiscal years 2008 and 
     2009.''.
       (b) Conforming Amendment.--The analysis for chapter 4 of 
     title 23, United States Code, is amended by inserting after 
     the item relating to section 411 the following:

``412. Tribal Transportation Safety Program.''.

     SEC. 6. INDIAN RESERVATION RURAL TRANSIT PROGRAM.

       Section 5311 of title 49, United States Code, is amended by 
     adding at the end the following:
       ``(k) Indian Reservation Rural Transit Program.--
       ``(1) Definition of indian tribe.--In this subsection, the 
     term `Indian tribe' has the meaning given the term in section 
     4 of the Indian Self-Determination and Education Assistance 
     Act (25 U.S.C. 450b).
       ``(2) Program.--
       ``(A) In general.--The Secretary of Transportation shall 
     establish and carry out a program to provide competitive 
     grants to Indian tribes to establish rural transit programs 
     on reservations or other land under the jurisdiction of the 
     Indian tribes.
       ``(B) Amount of grants.--The amount of a grant provided to 
     an Indian tribe under subparagraph (A) shall be based on the 
     need of the Indian tribe, as determined by the Secretary of 
     Transportation.
       ``(3) Funding.--Notwithstanding any other provision of law, 
     for each fiscal year, of the amount made available to carry 
     out this section under section 5338 for the fiscal year, the 
     Secretary of Transportation shall use $20,000,000 to carry 
     out this subsection.''.

     SEC. 7. SENSE OF CONGRESS REGARDING INDIAN RESERVATION ROADS.

       (a) Findings.--Congress finds that--
       (1) the maintenance of roads on Indian reservations is a 
     responsibility of the Bureau of Indian Affairs;
       (2) amounts made available by the Federal Government as of 
     the date of enactment of this Act for maintenance of roads on 
     Indian reservations under section 204(c) of title 23, United 
     States Code, comprise only 30 percent

[[Page 7758]]

     of the annual amount of funding needed for maintenance of 
     roads on Indian reservations in the United States; and
       (3) any amounts made available for construction of roads on 
     Indian reservations will be wasted if those roads are not 
     properly maintained.
       (b) Sense of Congress.--It is the sense of Congress that 
     Congress should annually provide to the Bureau of Indian 
     Affairs such funding as is necessary to carry out all 
     maintenance of roads on Indian reservations in the United 
     States.


                                                  U.S. Senate,

                                   Washington, DC, April 26, 2002.
     Hon. Patty Murray,
     Chairman, Senate Appropriations Subcommittee on 
         Transportation, Dirksen Senate Office Building, 
         Washington, DC.
     Hon. Richard C. Shelby,
     Ranking Member, Senate Appropriations Subcommittee on 
         Transportation, Hart Senate Office Building, Washington, 
         DC.
       Dear Chairman Murray and Senator Shelby: We are writing to 
     ask you to provide at least $275 million in funding in the 
     Fiscal Year 2003 Transportation Appropriations bill for the 
     Indian Reservation Roads Program. This program plays a 
     critical role in economic development, self-determination, 
     and employment of Native Americans in 33 states, including 
     Alaska Native Villages.
       The IRR system comprises 52,738 miles of road. Half are BIA 
     and tribally owned roads and half are state, county and local 
     government roads. The system includes 4,152 bridges and also 
     one ferryboat. More than 2 billion vehicle miles are traveled 
     on the IRR system each year. Unfortunately, many of the roads 
     are among the worst in the nation. Over two-thirds of the 
     system is unimproved earth and gravel roads and about one-
     quarter of the bridges are rated deficient.
       The Federal Highway Administration described the state of 
     roads on reservations in its 1999 study of the nation's 
     highways and bridges: ``Some of the isolation (of Native 
     American communities) is perpetuated by a lack of 
     transportation facilities . . . Except for a few tribes with 
     oil and mineral resources, or recreational operations, nearly 
     all reservations are among the most economically depressed 
     areas of the country . . . Some tribal governments have been 
     successful in initiating economic development activities, 
     including small industries . . . These require a viable 
     Indian Reservation Roads (IRR) system.''
       In 1998, Congress reauthorized the Indian Reservation Road 
     Program as part of Transportation Efficiency Act for the 21st 
     Century (TEA-21). Recognizing the huge backlog in basic 
     highway and transportation needs in Indian Country, the 
     authorized funding level was increased from $191 million per 
     year to $275 million. Last year the Transportation 
     Appropriations Act provided $279 million. We very much 
     appreciate your subcommittee's efforts in FY2002 to fund this 
     program at the higher level.
                                                    ------ ------.
                                 ______
                                 
      By Ms. STABENOW:
  S. 726. A bill to treat the Tuesday next after the first Monday in 
November as a legal public holiday for purposes of Federal employment, 
and for other purposes; to the Committee on the Judiciary.
  Ms. STABENOW. Mr. President, I rise today to introduce legislation 
that would make Election Day a national holiday.
  After the problems of the 2000 elections, a bipartisan Commission 
headed by former Presidents Jimmy Carter and Gerald Ford was created to 
recommend election reforms.
  Among the reforms the commission recommended was making Election Day 
a national holiday.
  If you read the report, the advantage of making Election Day a 
national holiday becomes obvious.
  In a survey done by the U.S. Census shortly after the 2000 elections, 
the number-one reason cited for not voting was because it conflicted 
with work or classroom schedules. Declaring Election Day a national 
holiday would make it easier for millions of busy Americans to get to 
the polls.
  But declaring Election Day a national holiday has other advantages as 
well, according to the Commission's report. More public buildings, 
especially schools, would be available as polling places. And more and 
better trained poll workers would be available to staff polling places.
  Businesses complain that a new Federal holiday will cost them money. 
But this problem can be easily solved. Presently we celebrate Veterans 
Day on Nov. 11. On even numbered years, we could simply celebrate 
Veterans Day on the second Tuesday after the first Monday of November, 
which Congress has designated as Election Day for Federal elections.
  The Commission's report noted that both Presidents Ford and Carter 
are veterans themselves and would not recommend any change that would 
dilute the significance of Veterans Day.
  Rather, our two former Presidents found it fitting to hold the 
``supreme national exercise of our freedom on the day we honor those 
who preserved it.''
  This idea is also supported by civil rights, labor and other groups 
trying to increase participation in our electoral process.
  I think it is an idea whose time has come.
  I ask unanimous consent that the text of this legislation be printed 
in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 726

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Democracy Day Act of 2003''.

     SEC. 2. TREATMENT OF ELECTION DAY IN SAME MANNER AS OTHER 
                   FEDERAL HOLIDAYS.

       The Tuesday next after the first Monday in November in 2004 
     and in each even-numbered year thereafter shall be treated as 
     a legal public holiday for purposes of statutes relating to 
     pay and leave of Federal employees.

     SEC. 3. STUDY BY COMPTROLLER GENERAL OF IMPACT ON VOTER 
                   PARTICIPATION.

       (a) In General.--The Comptroller General shall conduct a 
     study of the impact of section 2 on voter participation.
       (b) Report.--Not later than May 1, 2009, the Comptroller 
     General shall submit a report to Congress and the President 
     on the results of the study conducted under subsection (a).

     SEC. 4. SENSE OF CONGRESS REGARDING TREATMENT OF DAY BY 
                   PRIVATE EMPLOYERS.

       It is the sense of Congress that private employers in the 
     United States should provide their employees with flexibility 
     on the Tuesday next after the first Monday in November in 
     2004 and in each even-numbered year thereafter to enable the 
     employees to cast votes in the elections held on that day.
                                 ______
                                 
      By Mr. BYRD (for himself, Mr. Rockefeller, Mr. Thomas, Mr. Burns, 
        Mr. Dorgan, Mr. Allard, Mr. Durbin, Mr. Voinovich, Mr. Bayh, 
        Mr. Enzi, Mr. Campbell, and Mr. Conrad):
  S. 727. A bill to reauthorize a Department of Energy program to 
develop and implement accelerated research, development, and 
demonstration projects for advanced clean coal technologies for use in 
coal-based electricity generating facilities, to amend the Internal 
Revenue Code of 1986 to provide incentives for the use of those 
technologies, and for other purposes; to the Committee on Finance.
  Mr. BYRD. Mr. President, time after time, coal has been there for 
this country. Coal has been and will continue to be an important part 
of America--its history, its economy, and its people.
  During World War I, when coal supplied the Nation's heat and powered 
our battleships and industries, President Woodrow Wilson proclaimed 
that the Nation's war effort ``rested on the shoulders of [the American 
coal] miner.''
  During World War II, when enemy conquests in Asia and Africa 
threatened to stop the worldwide flow of oil, the American government 
responded by initiating a federally sponsored synthetic fuels program 
based on coal. Secretary of the Interior Harold Ickes acknowledged, 
``We should not have waited until war was upon us to begin the 
development of synthetic fuels.''
  After the war, that program was dismantled. Far-sighted men warned of 
the dangers of this decision. John L. Lewis, President of the United 
Mine Workers, predicted a growing reliance upon foreign oil in the 
post-war era would one day result in outrageous prices at the gas pump 
and cars lined up for blocks to purchase gasoline.
  Those of us old enough to remember the oil embargoes and energy 
crises of the 1970s know how accurate that prediction was. Those oil 
embargoes and energy crises prompted the Carter Administration to 
establish a national synthetic fuels program largely based on coal as 
the United States was labeled ``the Saudi Arabia of coal.''
  However, the Reagan Administration all but eliminated the Department 
of Energy's fossil fuels and renewable energy programs, and withdrew 
support

[[Page 7759]]

for the development of alternative energy technologies.
  How short-sighted that was. I correct myself. It wasn't just short-
sighted, it was blind, and I said so at the time. In a speech on this 
Senate floor, I warned that the Reagan administration's cutbacks in our 
energy programs were ``leaving us dangerously vulnerable to foreign 
transgressions.'' Historians like to point out that those who do not 
remember the past are condemned to relive it. Why must we continue to 
relive yesterday's mistakes? Can we not learn from the past?
  Once again, concerns about our Nation's current and future energy 
needs are on the minds of citizens across the country. Worrisome gas 
prices, erratic fuel costs, electricity supply needs, energy efficiency 
improvements, and U.S. dependence on foreign oil are major challenges 
that we must tackle. To develop a bipartisan, national energy plan, 
Congress must establish balanced energy policies that recognize the 
need for both economic growth, energy security, and environmental 
protection. Coal will play a key role in that strategy.
  It is paramount that we develop a comprehensive plan built on a 
balanced portfolio of resources, technologies, and ideas. Such a plan 
must look broadly across all sectors of the economy and set objectives 
to meet these needs both today and down the road. And, as we look at 
the needs of our economy and our future, we need to better understand 
where to put critical and precious research and development resources 
and how to best stimulate these technologies in the marketplace.
  Undoubtedly, fossil fuels will continue to be a primary source for 
meeting our energy needs into the coming decades. Coal, used in cleaner 
and more efficient ways, will be a key component of that energy 
strategy. Coal is this country's most abundant natural resource, 
providing over half of the Nation's electricity and accounting for one 
third of our Nation's total energy production.
  Today, a bipartisan group of Members join me in introducing the 
National Coal Research, Development, and Demonstration Act of 2003. I 
very much appreciate the support of Senators Rockefeller, Thomas, 
Burns, Dorgan, Allard, Durbin, Voinovich, Bayh, Enzi, Campbell, and 
Conrad. We believe that this legislation will help to maintain our 
Nation's fuel diversity by ensuring a key role for coal in our Nation's 
energy future.
  This initiative provides a roadmap to the future by authorizing $2 
billion over that next ten years for a clean coal technology 
demonstration program to help speed these technologies from the 
laboratory to the marketplace. Our legislation aims to improve air 
quality as well as the efficiency of the current fleet of coal-fired 
power plants by providing targeted tax incentives for the installation 
of these technologies at existing coal-fired facilities.
  Additionally, this legislation will help meet the need for new 
infrastructure by providing incentives to deploy a targeted number of 
advanced clean coal technologies to prove their viability in the 
marketplace now and in the future. Finally, it ensures that all 
generators of coal can compete for these targeted tax incentives on an 
equal basis. This initiative is an important component of a strategy to 
achieve energy diversity and independence.
  I have been around Congress for a very long time--more than 50 years. 
Recently, I became the third longest serving Member of Congress. My 
association with coal started early in my life and has continued 
throughout my many years of service in Congress. Coal has always been 
with me, it has been there fore us. Coal is abundant. Coal is 
affordable. Coal is ours!
  Clean coal research and development funding and tax incentive 
legislation gained significant bipartisan and bicameral support during 
the energy bill debates in the 107th Congress. This success was built 
on the framework outlined, developed, and refined with my support in 
past Congress.
  There is a little verse that goes:

     God and soldier all men adore,
     in time of trouble and no more,
     for when war is over, and all things righted,
     God is neglected and the old soldier slighted.

  In times of national struggle and adversity, in times of war, coal 
has been there. But in times of calm, when the urgency subsides, so 
does our national determination to establish and implement a 
comprehensive energy strategy. To fail to incorporate a comprehensive 
energy plan into our vision for the Nation's future would ultimately be 
to America's detriment.
  The development of clean coal technologies is essential to the 
betterment of our Nation's economic, energy, environmental, and 
security future. I urge my colleagues to support this legislation.
  Mr. ROCKEFELLER. Mr. President, I am proud today to join with my 
colleague from West Virginia, Senator Byrd, and Senators Thomas, Burns, 
Durbin, Allard, Dorgan, Bayh, Voinovich, Enzi, Campbell, and Conrad, to 
introduce the National Coal Research, Development and Demonstration Act 
of 2003. This is a bill I will work very hard to see enacted, because I 
believe both that the Nation's economy will grind to a halt without 
coal, and because sustaining the indispensable role of the Nation's 
most abundant energy source can only be accomplished by finding 
environmentally sensitive ways of using it.
  This legislation is the byproduct of more than 5 years of effort to 
foster new scientific research and commercial application of clean coal 
technologies. This has been a collaborative effort between members of 
Congress from both sides of the aisle and both sides of the Hill 
working together with the coal and utility industries, the Department 
of Energy, the United Mine Workers, and academic and industrial 
scientists. The legislation we introduce today is substantially similar 
to legislation introduced in the 107th Congress, which formed the basis 
of the coal tax and coal R&D provisions of the comprehensive energy 
bill the Senate passed last year.
  I have a particular interest in the clean coal tax provisions. I 
aggressively argued for them in the Finance Committee, and I was 
gratified by the willingness of then-Chairman Baucus and Ranking Member 
Grassley to work with me to include meaningful coal tax incentives in 
the bill this body passed by an overwhelming majority and sent to 
conference with the House. As a tax conferee, I again pushed hard for 
inclusion of the Senate-passed provisions, over the more expensive and 
less-inclusive House provisions. Unfortunately, the energy conference 
and the comprehensive energy legislation it was so close to producing 
were allowed to die by some who thought this Congress would be a better 
setting for consideration of a national energy policy.
  The R&D provisions, and in fact the entire package we introduce here 
today, have had no more fervent champion than my colleague, the senior 
Senator from West Virginia, Senator Byrd. Indeed, Senator Byrd has been 
a stalwart friend of coal far longer than the more than 5-year duration 
of this effort on clean coal technologies. I would be remiss if I did 
not commend Senator Byrd for his dedication and diligence in advocating 
for clean coal. I cannot overstate the importance of coal to our state 
of West Virginia. I am proud to join Senator Byrd in this effort to 
improve the environmental performance of coal, and to affirm its 
critical role in the economy of our State, and of the entire Nation.
  When enacted, this legislation will foster crucial, collaborative, 
and cutting edge scientific research by the Department of Energy and 
its industry partners into technologies allowing increasingly cleaner 
and more efficient use of our Nation's most abundant fossil fuel, coal, 
as a fuel to produce electricity. At the same time, this bill will 
create tax incentives to help coal-fired utilities defray the high cost 
of installation of clean coal technologies on coal-fired power plants. 
We have included incentives for clean coal technologies on both 
existing power plants and those yet to be built. Clean coal 
technologies used to repower existing plants will allow them to meet 
our most stringent Clean Air Act standards

[[Page 7760]]

for stationary source emissions. Installations of these technologies on 
existing facilities is important not only to protect the environment. 
Perhaps as significant for our economy, sustaining energy production 
from these reliable sources of electricity helps insulate consumers 
from the kind of extraordinary price shocks we have seen recently in 
the natural gas and petroleum markets.
  New facilities designed and built with next generation, advanced 
clean coal technologies will be cleaner and more reliable still. Energy 
experts estimate that to meet our Nation's burgeoning demand for 
electricity, we may see more than a thousand new electricity generating 
plants built in the next 20 years. Modest incentives for installation 
of advanced clean coal technologies will give utilities the ability to 
choose cheap and abundant coal as a fuel source, and still produce air 
emissions as clean or cleaner than those produced by natural gas 
plants.
  The two sections of this bill concentrate on different aspects of the 
coal picture, and will be considered by different committees in the 
Senate. Yet the programs and commercial development this bill will 
engender will work hand in hand. The advanced clean coal research and 
development funded by this bill, augmented by the data industry, 
academic, and government scientists hope to gain from the performance 
of the reconfigured existing plants, will hasten the deployment of a 
fleet of near-zero emission coal-fired plans in the coming decade or 
two.
  I represent a State that produces a lot of coal, and uses a lot of 
coal. Between 98 and 99 percent of the electricity in West Virginia is 
generated with coal. This is higher than any other State in the Nation, 
but West Virginia electricity consumers are by no means alone in their 
dependence on coal. The United States is dependent on coal to a degree 
that I am sure comes as a surprise to most people. Coal produces more 
than half of the electricity used in this country. It is the primary 
source of electricity in 32 States, accounting for at least 55 percent 
of the electricity in 25 of these. Of the remaining 18 States, coal is 
the second most prevalent source of electricity in six of them, and a 
close third in two more. So, I thank my fellow cosponsors for their 
work on this bill, but I say to my colleagues, this is not just 
important to those of us whose States produce coal. Coal will continue 
to be a vital economic resource for the entire country. Because of 
this, and because the future health of our environment depends on good 
decisions made today, I recommend this legislation to all of my 
colleagues, and ask for their support in passing it.
                                 ______
                                 
      By Mr. COLEMAN (for himself, Mr. Stevens, and Mr. Dayton):
  S. 728. A bill to reimburse the airline industry for homeland 
security costs, and for other purposes; to the Committee on Commerce, 
Science, and Transportation.
  Mr. COLEMAN. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 728

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

     SECTION 1. AVIATION INSURANCE.

       (a) Authority.--Section 44302(a)(1) of title 49, United 
     States Code, is amended by striking ``may'' and inserting 
     ``shall''.
       (b) Extension of Policies.--Section 44302(f)(1) of title 
     49, United States Code, is amended by striking ``August 31, 
     2003, and may extend through December 31, 2003,'' and 
     inserting ``December 31, 2007,''.
       (c) Coverage.--Section 44303 of title 49, United States 
     Code, is amended--
       (1) in subsection (a) by striking ``In general.--'' and 
     inserting ``In General.--''; and
       (2) in subsection (b)--
       (A) by striking ``during the period beginning on'' and 
     inserting ``on or after''; and
       (B) by striking ``and ending on December 31, 2003,''.
       (d) Termination Date.--Section 44310 of title 49, United 
     States Code, and the item relating to such section in the 
     analysis for chapter 443 are repealed.

     SEC. 2. REIMBURSEMENT OF AIR CARRIERS FOR CERTAIN SCREENING 
                   AND RELATED ACTIVITIES.

       The Secretary of Homeland Security shall reimburse air 
     carriers and airports for the following:
       (1) All screening and related activities that the air 
     carriers or airports perform or are responsible for 
     performing, including--
       (A) the screening of catering supplies;
       (B) checking documents at security checkpoints;
       (C) screening of passengers; and
       (D) screening of persons with access to aircraft.
       (2) The provision of space and facilities used to perform 
     screening functions and other space used by the 
     Transportation Security Administration.

     SEC. 3. REIMBURSEMENT OF AIR CARRIERS FOR FORTIFYING COCKPIT 
                   DOOR.

       The Secretary of Homeland Security shall reimburse air 
     carriers for the cost of fortifying cockpit doors in 
     accordance with section 48301(b) of title 49, United States 
     Code.

     SEC. 4. REIMBURSEMENT OF STATE AND LOCAL LAW ENFORCEMENT.

       The Secretary of Homeland Security shall reimburse State 
     and local law enforcement and airport police for complying 
     with any directives to provide security for air carriers or 
     at airports.

     SEC. 5. REIMBURSEMENT FOR AIR MARSHAL TRANSPORTATION.

       Section 44917(a) of title 49, United States Code, is 
     amended by striking paragraphs (4) and (5), and inserting the 
     following:
       ``(4) shall require air carriers providing flights 
     described in paragraph (1) to provide seating for a Federal 
     air marshal on any such flight without regard to the 
     availability of seats on the flight at the lowest possible 
     airfare available for such flight at the time of booking;
       ``(5) may require air carriers to provide, on a space-
     available basis, to an off-duty Federal air marshal a seat on 
     a flight to the airport nearest the marshal's home at the 
     lowest possible airfare available for such flight if the 
     marshal is traveling to that airport after completing his or 
     her security duties;''.

     SEC. 6. MORATORIUM ON SECURITY SERVICE FEE.

       Notwithstanding any other provision of law, the security 
     fees imposed under section 44940 of title 49, United States 
     Code, shall not apply for the 1-year period beginning on the 
     date of enactment of this Act and the costs of providing 
     civil aviation security services shall be reimbursed by the 
     Secretary of Homeland Security.
                                 ______
                                 
      By Mr. COLEMAN (for himself and Mr. Chambliss):
  S. 729. A bill to amend the Internal Revenue Code of 1986 to 
establish a pilot program to encourage the use of medical savings 
accounts by public employees of the State of Minnesota and political 
jurisdictions thereof; to the Committee on Finance.
  Mr. COLEMAN. Mr. President, I ask unanimous consent that the text of 
the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 729

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Minnesota MSA Empowerment 
     Act of 2003''.

     SEC. 2. DEDUCTION FOR MINNESOTA PUBLIC EMPLOYEE MSA PILOT 
                   PROGRAM.

       (a) In General.--Part VII of subchapter B of chapter 1 of 
     the Internal Revenue Code of 1986 (relating to additional 
     itemized deductions) is amended by redesignating section 223 
     as section 224 and by inserting after section 222 the 
     following new section:

     ``SEC. 223. MINNESOTA PUBLIC EMPLOYEE MSAS.

       ``(a) In General.--In the case of an eligible individual, 
     there shall be allowed as a deduction an amount equal to the 
     amount contributed during the taxable year by such individual 
     to the Minnesota public employee MSA of such individual.
       ``(b) Eligible Individual.--For purposes of this section, 
     the term `eligible individual' means an individual who--
       ``(1) is in receipt of retirement benefits for the taxable 
     year from a retirement plan associated with the State of 
     Minnesota or a political subdivision thereof, or
       ``(2) is an employee of the State of Minnesota or a 
     political subdivision thereof.
       ``(c) Minnesota Public Employee MSA.--
       ``(1) In general.--The term `Minnesota public employee MSA' 
     means an Archer MSA which is created or organized exclusively 
     for the purpose of playing the qualified medical expenses of 
     the eligible individual and--
       ``(A) which is designated as a Minnesota public employee 
     MSA, and
       ``(B) with respect to which no contribution may be made 
     other than a contribution made by the eligible individual or 
     the employer of the eligible individual.
       ``(2) Archer msa; qualified medical expenses.--For purposes 
     of this section, the terms `Archer MSA' and `qualified 
     medical expenses' shall have the respective meanings given to 
     such terms by section 220(d).
       ``(d) Special Rules.--In applying section 220 to a 
     Minnesota public employee MSA--

[[Page 7761]]

       ``(1) subsection (d)(1)(A)(ii) shall not apply, and
       ``(2) subsection (f)(3) shall be treated as including a 
     reference to this section.
       ``(e) Reports.--In the case of a Minnesota public employee 
     MSA, the report under section 220(h)--
       ``(1) shall include the fair market value of the assets in 
     such Minnesota public employee MSA as of the close of each 
     calendar year, and
       ``(2) shall be furnished to the account holder--
       ``(A) not later than January 31 of the calendar year 
     following the calendar year to which such reports relate, and
       ``(B) in such manner as the Secretary prescribes.
       ``(f) Coordination With Limitation on Number of Taxpayers 
     Having Archer MSAs.--Subsection (i) of section 220 shall not 
     apply to an individual with respect to a Minnesota public 
     employee MSA, and Minnesota public employee MSAs shall not be 
     taken into account in determining whether the numerical 
     limitations under section 220(j) are exceeded.''.
       ``(b) Deduction Allowed Whether or Not Taxpayer Itemizes.--
     Subsection (a) of section 62 is amended by inserting after 
     paragraph (18) the following new item:
       ``(19) Minnesota public employee msas.--The deduction 
     allowed by section 223.''.
       ``(c) Tax on Excess Contributions.--Section 4973(d)(1) of 
     such Code (relating to excess contributions to Archer MSAs) 
     is amended by inserting ``or 223'' after ``220''.
       ``(d) Clerical Amendment.--The table of sections for part 
     VII of subchapter B of chapter 1 of such Code is amended by 
     striking the last item and inserting the following new items:

``Sec. 223. Minnesota public employee MSAs.
``Sec. 224. Cross reference.''.

       ``(e) Effective Date.--The amendments by this section shall 
     apply to taxable years beginning after December 31, 2003.
                                 ______
                                 
      By Mr. BIDEN (for himself and Mr. Hatch):
  S. 731. A bill to prohibit fraud and related activity in connection 
with authentication features, and for other purposes; to the Committee 
on the Judiciary.
  Mr. BIDEN. Mr. President, I rise today, along with Senator Hatch, to 
introduce the Secure Authentication Feature and Enhanced Identification 
Defense Act of 2003, also known as the ``SAFE ID'' Act. My good friend, 
the Senior Senator from Utah, is joining me on this important piece of 
legislation.
  Two of the terrorists who perpetrated the acts of 9/11 held false 
identification documents, which they purchased from a broker of false 
IDs. That broker was convicted, but sentenced merely to probation. The 
judge and the prosecutor publicly lamented that the law did not subject 
such a person to harsher penalties. These events focused new attention 
on an existing, growing problem--the ease with which individuals and 
organizations can forge and steal IDs and use them to harm our society. 
These circumstances weaken our efforts in the fight against terrorism; 
identity theft; underage drinking and drunk driving; driver's license, 
passport and birth certificate fraud, among others. In the post-9/11 
era, we must do more to prevent the creation of false, misleading or 
inaccurate government IDs. This has become an issue of national 
importance and therefore merits a national response.
  In recent years, the ability of criminals to produce authentic-
looking fake IDs has grown immensely. Today, unfortunately, it is 
becoming increasingly common for criminals to either steal or forge, 
and traffic in, the very items that issuing authorities use to verify 
the authenticity of their IDs. These ``authentication features'' are 
the holograms, watermarks, and other symbols, letters and codes used in 
identification documents to prove that they are authentic. 
Unfortunately, today IDs carrying authentication features can be 
purchased on the Internet or through mail order outfits. In addition, 
breeder documents, such as birth certificates, are desk-top published, 
with an illegitimate embossed or foil seal. Put another way, not only 
do crooks forge identification documents, they also now illegally fake 
or steal the very features issuing authorities use to fight that crime.
  Under current law, it is not illegal to possess, traffic in, or use 
false or misleading authentication features whose purpose is to create 
fraudulent IDs. That is why I am today introducing the SAFE ID Act.
  The SAFE ID Act would prohibit the fraudulent use of authentication 
features in identity documents. Specifically, the SAFE ID Act adds 
authentication features to the list of items covered by 10 U.S.C. 
1028(a), an existing law prohibiting fraud and related activity in 
connection with identification documents. In addition, the Act requires 
forfeiture of any violative items, such as false authentication 
features and relevant equipment.
  It is rare that we have before us legislation that would effectively 
address problems as disparate as homeland defense, identity theft and 
underage drinking. The SAFE ID Act would do just that, by cutting the 
legs out from under those who would misuse technology to mislead 
government authorities.
  I look forward to working with Senator Hatch, Chairman of the 
Judiciary Committee, and my other colleagues, to secure consideration 
and passage of this bill.
  I ask unanimous consent that the text of this bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 731

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Secure Authentication 
     Feature and Enhanced Identification Defense Act of 2003'' or 
     ``SAFE ID Act''.

     SEC. 2. FRAUD AND FALSE STATEMENTS.

       (a) Offenses.--Section 1028(a) of title 18, United States 
     Code, is amended--
       (1) in paragraph (1), by inserting ``, authentication 
     feature,'' after ``an identification document'';
       (2) in paragraph (2)--
       (A) by inserting ``, authentication feature,'' after ``an 
     identification document''; and
       (B) by inserting ``or feature'' after ``such document'';
       (3) in paragraph (3), by inserting ``, authentication 
     features,'' after ``possessor)'';
       (4) in paragraph (4)--
       (A) by inserting ``, authentication feature,'' after 
     ``possessor)''; and
       (B) by inserting ``or feature'' after ``such document'';
       (5) in paragraph (5), by inserting ``or authentication 
     feature'' after ``implement'' each place that term appears;
       (6) in paragraph (6)--
       (A) by inserting ``or authentication feature'' before 
     ``that is or appears'';
       (B) by inserting ``or authentication feature'' before ``of 
     the United States'';
       (C) by inserting ``or feature'' after ``such document''; 
     and
       (D) by striking ``or'' at the end;
       (7) in paragraph (7), by inserting ``or'' after the 
     semicolon; and
       (8) by inserting after paragraph (7) the following:
       ``(8) knowingly traffics in false authentication features 
     for use in false identification documents, document-making 
     implements, or means of identification;''.
       (b) Penalties.--Section 1028(b) of title 18, United States 
     Code, is amended--
       (1) in paragraph (1)--
       (A) in subparagraph (A)--
       (i) by inserting ``, authentication feature,'' before ``or 
     false''; and
       (ii) in clause (i), by inserting ``or authentication 
     feature'' after ``document''; and
       (B) in subparagraph (B), by inserting ``, authentication 
     features,'' before ``or false''; and
       (2) in paragraph (2)(A), by inserting ``, authentication 
     feature,'' before ``or a false''.
       (c) Circumstances.--Section 1028(c)(1) of title 18, United 
     States Code, is amended by inserting ``, authentication 
     feature,'' before ``or false'' each place that term appears.
       (d) Definitions.--Section 1028(d) of title 18, United 
     States Code, is amended--
       (1) by redesignating paragraphs (1), (2), (3), (4), (5), 
     (6), (7), and (8) as paragraphs (2), (3), (4), (7), (8), (9), 
     (10), and (11), respectively;
       (2) by inserting before paragraph (2), as redesignated, the 
     following:
       ``(1) the term `authentication feature' means any hologram, 
     watermark, certification, symbol, code, image, sequence of 
     numbers of letters, or other feature that either individually 
     or in combination with another feature is used by the issuing 
     authority on an identification document, document-making 
     implement, or means of identification to determine if the 
     document is counterfeit, altered, or otherwise falsified;'';
       (3) in paragraph (4)(A), as redesignated, by inserting ``or 
     was issued under the authority of a governmental entity but 
     was subsequently altered for purposes of deceit'' after 
     ``entity'';
       (4) by inserting after paragraph (4), as redesignated, the 
     following:
       ``(5) the term `false authentication feature' means an 
     authentication feature that--
       ``(A) is genuine in origin, but, without the authorization 
     of the issuing authority, has

[[Page 7762]]

     been tampered with or altered for purposes of deceit;
       ``(B) is genuine, but has been distributed, or is intended 
     for distribution, without the authorization of the issuing 
     authority and not in connection with a lawfully made 
     identification document, document-making implement, or means 
     of identification to which such authentication feature is 
     intended to be affixed or embedded by the respective issuing 
     authority; or
       ``(C) appears to be genuine, but is not;
       ``(6) the term `issuing authority'--
       ``(A) means any governmental entity or agency that is 
     authorized to issue identification documents, means of 
     identification, or authentication features; and
       ``(B) includes the United States Government, a State, a 
     political subdivision of a State, a foreign government, a 
     political subdivision of a foreign government, or an 
     international government or quasi-governmental 
     organization;'';
       (5) in paragraph (10), as redesignated, by striking ``and'' 
     at the end;
       (6) in paragraph (11), as redesignated, by striking the 
     period at the end and inserting; and''; and
       (7) by adding at the end the following:
       ``(12) the term `traffic' means--
       ``(A) to transport, transfer, or otherwise dispose of, to 
     another, as consideration for anything of value; or
       ``(B) to make or obtain control of with intent to so 
     transport, transfer, or otherwise dispose of.''.
       (e) Additional Penalties.--Section 1028 of title 18, United 
     States Code, is amended--
       (1) by redesignating subsection (h) as subsection (i); and
       (2) by inserting after subsection (g) the following:
       ``(h) Forfeiture; Disposition.--In the circumstance in 
     which any person is convicted of a violation of subsection 
     (a), the court shall order, in addition to the penalty 
     prescribed, the forfeiture and destruction or other 
     disposition of all illicit authentication features, 
     identification documents, document-making implements, or 
     means of identification.''.
       (f) Technical and Conforming Amendment.--Section 1028 of 
     title 18, United States Code, is amended in the heading by 
     inserting ``, AUTHENTICATION FEATURES,'' after ``DOCUMENTS''.
                                 ______
                                 

    By Mr. BAUCUS (for himself, Mr. Hatch, Mr. Rockefeller, and Mr. 
                               Jeffords):

  S. 732. A bill to amend title XI of the Social Security Act to create 
an independent and nonpartisan commission to assess the health care 
needs of the uninsured and to monitor the financial stability of the 
Nation's health care safety net; to the Committee on Finance.
  Mr. BAUCUS. Mr. President, it has been said that, ``Good health and 
good sense are two of life's greatest blessings.'' Senators Hatch, 
Rockefeller, Jeffords and I hope to further the cause of good health 
and good sense today, through introduction of the Health Care Safety 
Net Oversight Act of 2003.
  Currently no entity oversees America's health care safety net. This 
means that safety net providers--including public and teaching 
hospitals, emergency departments, community health centers and rural 
health clinics--are laboring on their own. They are like master 
musicians performing without a conductor. Each is trying their hardest 
and performing their part--but no one is coordinating their efforts.
  This Act changes that, by creating the Safety Net Organizations and 
Patient Advisory Commission--SNOPAC--an independent and nonpartisan 
commission to monitor the health care safety net.
  Safety net providers are often the last resort for patients unable to 
afford the health care they need. For example, in my State of Montana, 
we have eight community health centers, serving about 44,000 Montanans 
per year. Without these health centers, many of these uninsured and 
underinsured Montanans would have no place to turn.
  According to a recent report, nearly 75 million Americans lacked 
health insurance at some time in the past two years--amounting to 
almost one-third of all Americans younger than 65. Of these 74.7 
million individuals, about 30 percent had no coverage at some time in 
2001 and 2002 while 65 percent had no coverage for at least six months.
  And who are these people? In Montana, about 80 percent of uninsured 
individuals are in working families. And self-employed workers--
including owners of small businesses--and their dependents account for 
about one-fifth of the uninsured in our State. Montana has one of the 
lowest rates of employer-sponsored insurance in the Nation, with about 
46 percent of Montanans receiving health insurance through their 
employers.
  So what do we do about this problem? How do we ensure that all 
Americans, irrespective of color, creed, gender, or geography, have 
access to qualify health care?
  About 10 years ago Congress and the Administration worked on the 
problem of the uninsured. A tremendous amount of time and effort went 
into the Health Security Act, on both sides of the issue. As we know, 
passage of that bill failed. Since then, Congress has taken a more 
incremental approach to the uninsured. Congress passed legislation in 
1996 to ensure portability of health insurance. A year later, the CHIP 
program was signed into law, bipartisan legislation to cover children 
of working families. And last year, we worked together to provide 
health coverage for workers who lost their jobs because of increased 
international trade.
  While these incremental steps have helped, we need to do more. Last 
year I introduced bipartisan legislation to provide employers with tax 
credits so they can offer their employees health insurance. And I am 
hopeful that the Baucus-Smith, OR bill can be enacted into law.
  But the fact remains, for most uninsured and underinsured Americans, 
the safety net is still the only place to turn.
  Yet, the safety net has been seriously damaged in recent years. 
According to report a few years ago by the Institute of Medicine, the 
health care safety net is ``intact but endangered.''
  And according to a report I requested of the General Accounting 
Office, issued today, emergency departments across the nation are 
facing severe overcrowding problems, forced to send patients to other 
hospitals. The GAO found that about two-thirds of hospitals reported 
asking ambulances to be diverted to other hospitals at some point in 
fiscal year 2001. And about 10 percent of hospitals reported being on 
diversion status for more than 20 percent of the year.
  September 11 taught us that we need to be ready. Our emergency 
response systems must be prepared to manage an unexpected terrorist 
attack. But based on the GAO's findings, it seems that we are far from 
prepared. If emergency departments cannot care for all the patients 
they are sent under current conditions, how can we expect them to 
manage a terrorist attack of potentially catastrophic proportions?
  We need an entity responsible for recommending changes to our safety 
net, including our emergency departments. And though SNOPAC will not 
solve the problems of America's uninsured, it will work to ensure that 
safety net is not further frayed. An independent, non-partisan 
commission, modeled on the Medicare Payment Advisory Commission 
(MedPAC), SNOPAC will include professionals from across the policy and 
practical spectrum of health care. And like MedPAC, SNOPAC will report 
to the relevant committees of Congress on the status of its mission: 
tracking the well-being of the health care safety net.
  SNOPAC is not a panacea. But it is a positive step toward a 
coordinated approach in caring for the uninsured. Absent large-scale 
improvements in the number of insured Americans, we should at least 
work to monitor and care for what we already have--an intact, but 
endangered, health care safety net.
  I urge all my colleagues to join me in this effort towards good 
health and good sense.
                                 ______
                                 
      By Ms. SNOWE:
  S. 733. A bill to authorize appropriations for fiscal year 2004 for 
the United States Coast Guard, and for other purposes; to the Committee 
on Commerce, Science, and Transportation.
  Ms. SNOWE. Mr. President, today I am pleased to introduce the Coast 
Guard Authorization Act of 2003.
  The Coast Guard serves as the guardian of our maritime homeland 
security and provides many critical services for

[[Page 7763]]

our Nation. Last year alone, the Coast Guard responded to over 39,000 
calls for assistance, assisted $1.5 billion in property, and saved 
3,653 lives. These brave men and women risk their lives to defend our 
borders from drugs, illegal immigrants, act of terror, and other 
national security threats. In 2002, the Coast Guard seized 117,780 
pounds of cocaine and 40,316 pounds of marijuana preventing them from 
reaching our streets and playgrounds. They also stopped over 5,100 
illegal migrants from reaching our shores. They conducted patrols to 
protect our vital fisheries stocks and they responded to over 12,000 
pollution incidents.
  In the wake of September 11, the men and women of the Coast Guard 
have been working harder than ever in the service's largest peace-time 
port security operation since World War II. This rapid escalation of 
the Coast Guard's homeland security mission continues today. Last year 
alone, the Coast Guard aggressively defended our homeland by conducting 
more than 36,000 port security patrols, boarded over 10,000 vessels, 
escorted over 6,000 vessels, and maintained more than 115 security 
zones. While our new reality requires the Coast Guard to maintain a 
robust homeland security posture, these new priorities must not 
diminish the Coast Guard's focus on its traditional missions such as 
marine safety, search and rescue, aids to navigation, fisheries law 
enforcement, and marine environmental protection.
  And recently we have asked even more of the Coast Guard. Last 
November we passed the Homeland Security Act of 2002 which recently 
transferred the Coast Guard from the Department of Transportation to 
the new Department of Homeland Security. This historic law positions 
the Coast Guard as a cornerstone of the new Department, but also 
recognizes that the Coast Guard is responsible for many other missions 
on which Americans depend.
  First and foremost, it ensures that the Coast Guard will remain a 
distinct entity and continue in its role as one of the five Armed 
Services. The Coast Guard plays a unique role in our government, by 
serving both an armed service as well as a law enforcement agency and 
this must not be changed or altered. It also contains language which 
maintains the primacy of the Coast Guard's diverse missions, prevents 
the Secretary of this new department from making substantial or 
significant changes to the Coast Guard's non-homeland security 
missions, and prohibits the new department from transferring any Coast 
Guard personnel or assets to another agency except for personnel 
details and assignment that do not reduce the Service's capability to 
perform its non-homeland security missions.
  By introducing the Coast Guard Authorization bill today, I intend to 
continue giving the Coast Guard my full support, and I hope my 
colleagues will work with me to provide the Coast Guard with the 
resources that it needs to carry out its many critically important 
missions. Unfortunately Coast Guard's rapid operational escalation has 
come on the backs of its 38,000 men and women who faithfully serve our 
country. I believe we need to shift this burden off our people and 
instead adequately provide the Coast Guard with the resources it needs.
  The bill I introduce today authorizes funding and personnel levels 
for the Coast Guard in Fiscal Year 2004. The bill authorizes funding 
for FY 2004 at $6.7 billion. This represents a 9.4 percent increase 
over the levels contained in last year's authorization bill and a 13 
percent increase over the funds requested for Fiscal Year 2003. This 
authorization will help restore the Coast Guard's non-homeland security 
missions such as search and rescue, fisheries enforcement, and marine 
environmental protection to near their pre-September 11, 2001 levels.
  This bill also includes numerous measures which will improve the 
Coast Guard's ability to recruit, reward, and retain high-quality 
personnel. It addresses various Coast Guard personnel management and 
quality of life issues such by providing eligible enlisted personnel 
with a critical skills training bonus, amending the number and 
distribution of commissioned officers to retain needed skill sets and 
experiences, expanding the Coast Guard's housing authorities to ease 
housing shortages, and including several measures that grant the Coast 
Guard parity with the other Armed Services.
  Another critical provision in the bill will enable us to better 
oversee the historic and beautiful lighthouses that we have entrusted 
to non-profit groups across the country. Over the years we have 
transferred numerous lighthouses and we need to ensure that these 
groups continue to be responsible stewards of these national treasures. 
Unfortunately, we have recently learned of lighthouses which have been 
allowed to deteriorate and one that was even offered for sale through a 
real estate broker. This provision will ensure these national treasures 
are protected and will allow the Secretary of Interior to monitor 
future lighthouse conveyances and ensure that they meet all of the 
conditions of the original transfers.
  Finally, we must recognize that the United States Coast Guard is a 
force conducting 21st century operations with 20th century technology. 
To accomplish its many vital missions, the Coast Guard desperately 
needs to recapitalize its offshore fleet of cutters and aircraft. The 
Coast Guard operates the third oldest of the world's 39 similar naval 
fleets with several cutters dating back to World War II. These 
platforms are technologically obsolete, require excessive maintenance, 
lack essential speed, and have poor interoperability which in turn 
limit their overall mission effectiveness and efficiency. Unfortunately 
they are reaching the end of their serviceable life just as the Coast 
Guard needs them the most.
  The Coast Guard is in the early stages of a major recapitalization 
program for the ships and aircraft designed to operate more than 50 
miles offshore. The Integrated Deepwater System acquisition program is 
critical to the future viability of the Coast Guard. I wholeheartedly 
support this initiative and the system-of-systems procurement strategy 
the Coast Guard is utilizing. This bill authorizes full funding for 
this critical long-term recapitalization program.
  I ask unanimous consent that the text of the bill be printed in the 
Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 733

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Coast Guard Authorization 
     Act of 2003''.

     SEC. 2. TABLE OF CONTENTS.

       The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
                         Title I--Authorization

Sec. 101. Authorization of appropriations.
Sec. 102. Authorized Levels of military strength and training.
  Title II--Coast Guard Personnel, Financial, and Property Management

Sec. 201. Enlisted member critical skill training bonus. 
Sec. 202. Amend limits to the number and distribution of officers.
Sec. 203. Expansion of Coast Guard housing authorities. 
Sec. 204. Property owned by auxiliary units and dedicated solely for 
              auxiliary use.
Sec. 205. Coast Guard auxiliary units as instrumentalities of the 
              United States for taxation purposes.
Title III--Law Enforcement, Marine Safety, and Environmental Protection

Sec. 301. Marking of underwater wrecks.
Sec. 302. Ports and waterways partnerships/cooperative ventures.
Sec. 303. Reports from charterers.
Sec. 304. Revision of temporary suspension criteria in suspension and 
              revocation cases.
Sec. 305. Revision of bases for suspension and revocation cases.
Sec. 306. Removal of mandatory revocation for proved drug convictions 
              in suspension and revocation cases.
Sec. 307. Records of merchant mariner's documents.
Sec. 308. Exemption of unmanned barges from certain citizenship 
              requirements.
Sec. 309. Increase in civil penalties for violations of certain bridge 
              statutes.

[[Page 7764]]

Sec. 310. Civil penalties for failure to comply with recreational 
              vessel and associated equipment safety standards.
Sec. 311. Oil spill liability trust fund; emergency fund.
Sec. 312. Law enforcement powers.
Sec. 313. Correction to definition of Federal law enforcement agencies 
              in the Enhanced Border Security and Visa Entry Reform Act 
              of 2002.
                        Title IV--Miscellaneous

Sec. 401. Conveyance of lighthouses.
Sec. 402. LORAN-C.

                         TITLE I--AUTHORIZATION

     SEC. 101. AUTHORIZATION OF APPROPRIATIONS FOR FISCAL YEAR 
                   2004.

       There are authorized to be appropriated for necessary 
     expenses of the Coast Guard for fiscal year 2004 the 
     following amounts:
       (1) For the operation and maintenance of the Coast Guard, 
     $4,729,000,000, of which $25,000,000 shall be derived from 
     the Oil Spill Liability Trust Fund.
       (2) For the acquisition, construction, rebuilding, and 
     improvement of aids to navigation, shore and offshore 
     facilities, vessels, and aircraft, including equipment 
     related thereto, $775,000,000 to remain available until 
     expended, of which $20,000,000 shall be derived from the Oil 
     Spill Liability Trust Fund to carry out the purposes of 
     section 1012(a)(5) of the Oil Pollution Act of 1990.
       (3) For research, development, test, and evaluation of 
     technologies, materials, and human factors directly relating 
     to improving the performance of the Coast Guard's mission in 
     support of search and rescue, aids to navigation, marine 
     safety, marine environmental protection, enforcement of laws 
     and treaties, ice operations, oceanographic research, and 
     defense readiness, $22,000,000, to remain available until 
     expended, of which $3,500,000 shall be derived from the Oil 
     Spill Liability Trust Fund.
       (4) For retired pay (including the payment of obligations 
     otherwise chargeable to lapsed appropriations for this 
     purpose), payments under the Retired Serviceman's Family 
     Protection and Survivor Benefit Plans, and payments for 
     medical care of retired personnel and their dependents under 
     chapter 55 of title 10, United States Code, $1,020,000,000, 
     to remain available until expended.
       (5) For environmental compliance and restoration at Coast 
     Guard facilities (other than parts and equipment associated 
     with operations and maintenance), $17,000,000, to remain 
     available until expended.
       (6) For alteration or removal of bridges over navigable 
     waters of the United States constituting obstructions to 
     navigation, and for personnel and administrative costs 
     associated with the Bridge Alteration Program--
       (A) $16,000,000, to remain available until expended; and
       (B) $2,000,000, to remain available until expended, which 
     may be utilized for construction of a new Chelsea Street 
     Bridge over the Chelsea River in Boston, Massachusetts.

     SEC. 102. AUTHORIZED LEVELS OF MILITARY STRENGTH AND 
                   TRAINING.

       (a) End-of-year Strength for Fiscal Year 2004.--The Coast 
     Guard is authorized an end-of-year strength of active duty 
     personnel of 45,500 as of September 30, 2004.
       (b) Training Student Loads for Fiscal Year 2004.--For 
     fiscal year 2004, the Coast Guard is authorized average 
     military training student loads as follows:
       (1) For recruit and special training, 2,250 student years.
       (2) For flight training, 125 student years.
       (3) For professional training in military and civilian 
     institutions, 300 student years.
       (4) For officer acquisition, 1,150 student years.

  TITLE II--COAST GUARD PERSONNEL, FINANCIAL, AND PROPERTY MANAGEMENT

     SEC. 201. ENLISTED MEMBER CRITICAL SKILL TRAINING BONUS.

       (a) In General.--Chapter 11 of title 14, United States 
     Code, is amended by adding at the end the following:

     ``Sec.  374. Critical skill training bonus

       ``(a) The Secretary may provide a bonus, not to exceed 
     $20,000, to enlisted members who complete training in a skill 
     designated as critical, provided at least four years of 
     obligated active service remain on the member's enlistment at 
     the time the training is completed. A bonus under this 
     section may be paid in a single lump sum or in periodic 
     installments.
       ``(b) If an enlisted member voluntarily or because of 
     misconduct does not complete his or her term of obligated 
     active service, the Secretary may require the member to repay 
     the United States, on a pro rata basis, all sums paid under 
     this section. The Secretary shall charge interest on the 
     reimbursed amount at a rate, to be determined quarterly, 
     equal to 150 percent of the average of the yields on the 91-
     day Treasury bills auctioned during the preceding calendar 
     quarter.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     11 of title 14, United States Code, is amended by inserting 
     after the item relating to section 373 the following:

``374. Critical skill training bonus.''.

     SEC. 202. AMEND LIMITS TO THE NUMBER OF COMMANDERS AND 
                   LIEUTENANT COMMANDERS.

       Section 42 of title 14, United States Code, is amended --
       (1) by striking ``The'' in subsection (a) and inserting 
     ``Except in time of war or national emergency declared by 
     Congress or the President, the'';
       (2) by striking ``6,200.'' in subsection (a) and inserting 
     ``7,100. In time of war or national emergency, the Secretary 
     shall establish the total number of commissioned officers, 
     excluding commissioned warrant officers, on active duty in 
     the Coast Guard.''; and
       (3) by striking ``commander 12.0; lieutenant commander 
     18.0.'' in subsection (b) and inserting ``commander 15.0; 
     lieutenant commander 22.0.''.

     SEC. 203. EXPANSION OF COAST GUARD HOUSING AUTHORITIES.

       (a) Definitions.--Section 680 of title 14, United States 
     Code, is amended by adding at the end the following:
       ``(5) The term `eligible entity' means any private person, 
     corporation, firm, partnership, company, State or local 
     government, or housing authority of a State or local 
     government.''.
       (b) Direct Loans and Loan Guarantees.--Section 682 of title 
     14, United States Code, is amended --
       (1) by striking the section heading and inserting the 
     following:

     ``Sec.  Direct loans and loan guarantees'' ;
       (2) by redesignating subsections (a) and (b) as subsections 
     (b) and (c), respectively;
       (3) by inserting before subsection (b), as redesignated, 
     the following:
       ``(a) Direct Loans.--
       ``(1) Subject to subsection (c), the Secretary may make 
     direct loans to an eligible entity in order to provide funds 
     to the eligible entity for the acquisition or construction of 
     housing units that the Secretary determines are suitable for 
     use as military family housing or as military unaccompanied 
     housing.
       ``(2) The Secretary shall establish such terms and 
     conditions with respect to loans made under this subsection 
     as the Secretary considers appropriate to protect the 
     interests of the United States, including the period and 
     frequency for repayment of such loans and the obligations of 
     the obligors on such loans upon default.'';
       (4) by striking ``subsection (b),'' in subsection (b), as 
     redesignated, and inserting ``subsection (c),''; and
       (5) by striking the subsection heading for subsection (c), 
     as redesignated, and inserting ``(c) Direct Loans and Loan 
     Guarantees.--''.
       (c) Conforming Amendment.--The chapter analysis for chapter 
     17 of title 14, United States Code, is amended by striking 
     the item related to section 682 and inserting the following:

``682. Direct loans and loan guarantees.''.

     SEC. 204. PROPERTY OWNED BY AUXILIARY UNITS AND DEDICATED 
                   SOLELY FOR AUXILIARY USE.

       Section 821 of title 14, United States Code, is amended by 
     adding at the end the following:
       ``(d) Subject to the approval of the Commandant:
       ``(1) The Coast Guard Auxiliary and each organizational 
     element and unit (whether or not incorporated), shall have 
     the power to acquire, own, hold, lease, encumber, mortgage, 
     transfer, and dispose of personal property for the purposes 
     set forth in section 822. Personal property owned by the 
     Auxiliary or an Auxiliary unit, or any element thereof, 
     whether or not incorporated, shall at all times be deemed to 
     be property of the United States for the purposes of the 
     statutes described in paragraphs (1) through (6) of 
     subsection (b) while such property is being used by or made 
     exclusively available to the Auxiliary as provided in section 
     822.
       ``(2) Personal property owned by the Auxiliary or an 
     Auxiliary unit or any element or unit thereof, shall not be 
     considered property of the United States for any other 
     purpose or under any other provision of law except as 
     provided in sections 821 through 832 and section 641 of this 
     title. The necessary expenses of operation, maintenance and 
     repair or replacement of such property may be reimbursed 
     using appropriated funds.
       ``(3) For purposes of this subsection, personal property 
     includes, but is not limited to, motor boats, yachts, 
     aircraft, radio stations, motorized vehicles, trailers, or 
     other equipment.''.

     SEC. 205. COAST GUARD AUXILIARY UNITS AS INSTRUMENTALITIES OF 
                   THE UNITED STATES FOR TAXATION PURPOSES.

       Section 821(a) of title 14, United States Code, is amended 
     by inserting ``The Auxiliary and each organizational element 
     and unit shall be deemed to be instrumentalities and 
     political subdivisions of the United States for taxation 
     purposes and for those exemptions as provided under section 
     107 of title 4, United States Code.'' after the second 
     sentence.

TITLE III--LAW ENFORCEMENT, MARINE SAFETY, AND ENVIRONMENTAL PROTECTION

     SEC. 301. MARKING OF UNDERWATER WRECKS.

       Section 15 of the Act of March 3, 1899 (30 Stat. 1152; 33 
     U.S.C. 409) is amended --
       (1) by striking ``day and a lighted lantern'' in the second 
     sentence inserting ``day and,

[[Page 7765]]

     unless otherwise granted a waiver by the Commandant of the 
     Coast Guard, a light''; and
       (2) by adding at the end ``The Commandant of the Coast 
     Guard may waive the requirement to mark a wrecked vessel, 
     raft, or other craft with a light at night if the Commandant 
     determines that placing a light would be impractical and 
     granting such a waiver would not create an undue hazard to 
     navigation.''.

     SEC. 302. PORTS AND WATERWAYS PARTNERSHIPS; COOPERATIVE 
                   VENTURES.

       Section 4 of the Ports and Waterways Safety Act (33 U.S.C. 
     1223), is amended--
       (1) by striking ``and'' after the semicolon in subsection 
     (a)(4)(D);
       (2) by striking ``environment.'' in subsection (a)(5) and 
     inserting ``environment;'';
       (3) by adding at the end of subsection (a) the following:
       ``(6) may carry out the functions under paragraph (1) of 
     this subsection, at the Secretary's discretion and on such 
     terms and conditions as the Secretary deems appropriate, 
     either solely, or in cooperation with a public or private 
     agency, authority, association, institution, corporation, 
     organization or persons, except that a non-governmental 
     entity may not carry out an inherently governmental function; 
     and
       ``(7) may, for the purpose of carrying out the Secretary's 
     functions under paragraph (1) of this subsection, convey or 
     lease real property under the administrative control of the 
     Coast Guard to public or private agencies, authorities, 
     associations, institutions, corporations, organizations, or 
     persons for such consideration and upon such terms and 
     conditions as the Secretary considers appropriate, except 
     that the term of any such lease shall not exceed 20 years.''; 
     and
       (4) by adding at the end the following:
       ``(e) Special Provisions Relating to Subsection (a)(6) and 
     (7).--
       ``(1) Definition of inherently governmental function.--For 
     purposes of subsection (a)(6), the term `inherently 
     governmental function' means any activity that is so 
     intimately related to the public interest as to mandate 
     performance by an officer or employee of the Federal 
     Government, including an activity that requires either the 
     exercise of discretion in applying the authority of the 
     Government or the use of judgment in making a decision for 
     the Government).
       ``(2) Disposition of proceeds from conveyances and 
     leases.--Amounts collected under subsection (a)(7) shall be 
     credited to a special fund in the Treasury and ascribed to 
     the Coast Guard. The amounts collected shall be available to 
     the Coast Guard's `Operating Expenses' account without 
     further appropriation and without fiscal year limitation, and 
     the amounts appropriated from the general fund for that 
     account shall be reduced by the amounts so collected.
       ``(3) Nonapplication of certain acts.--A conveyance or 
     lease of real property under subsection (a)(7) is not subject 
     to the Federal Property and Administrative Services Act of 
     1949 (40 U.S.C. 471 et seq.), section 321 of the Act of June 
     30, 1932 (47 Stat. 412; 40 U.S.C. 303b), or the Stewart B. 
     McKinney Homeless Assistance Act (42 U.S.C. 11301 et 
     seq.).''.

     SEC. 303. REPORTS FROM CHARTERERS.

       Section 12120 of title 46, United States Code, is amended 
     by striking ``owners and masters'' and inserting ``owners, 
     masters, and charterers''.

     SEC. 304. REVISION OF TEMPORARY SUSPENSION CRITERIA IN 
                   SUSPENSION AND REVOCATION CASES.

       Section 7702(d)(1) of title 46, United States Code, is 
     amended--
       (1) by striking ``if, when acting under the authority of 
     that license, certificate, or document--'' and inserting 
     ``if--'';
       (2) by striking ``has'' in subparagraph (B)(i) and 
     inserting ``has, while acting under the authority of that 
     license, certificate, or document,'';
       (3) by striking ``or'' at the end of subparagraph (B)(ii);
       (4) by striking ``1982.'' in subparagraph (B)(iii) and 
     inserting ``1982; or''; and
       (5) by adding at the end of subparagraph (B) the following:
       ``(iv) is a threat to the safety or security of a vessel or 
     a public or commercial structure located within or adjacent 
     to the marine environment.''.

     SEC. 305. REVISION OF BASES FOR SUSPENSION & REVOCATION 
                   CASES.

       Section 7703 of title 46, United States Code, is amended--
       (1) by striking ``incompetence'' in paragraph (1)(B);
       (2) by striking ``or'' after the semicolon in paragraph 
     (2);
       (3) by striking ``1982.'' in paragraph (3) and inserting 
     ``1982;''; and
       (4) by adding at the end the following:
       ``(4) has committed an act of incompetence; or
       ``(5) is a threat to the safety or security of a vessel or 
     a public or commercial structure located within or adjacent 
     to the marine environment.''.

     SEC. 306. REMOVAL OF MANDATORY REVOCATION FOR PROVED DRUG 
                   CONVICTIONS IN SUSPENSION & REVOCATION CASES.

       Section 7704(b) of title 46, United States Code, is amended 
     by inserting ``suspended or'' after ``shall be''.

     SEC. 307. RECORDS OF MERCHANT MARINERS' DOCUMENTS.

       Section 7319 of title 46, United States Code, is amended by 
     striking the second sentence.

     SEC. 308. EXEMPTION OF UNMANNED BARGES FROM CERTAIN 
                   CITIZENSHIP REQUIREMENTS.

       (a) Section 12110(d) of title 46, United States Code, is 
     amended by inserting ``or an unmanned barge operating outside 
     of the territorial waters of the United States,'' after 
     ``recreational endorsement,''.
       (b) Section 12122(b)(6) of title 46, United States Code, is 
     amended by inserting ``or an unmanned barge operating outside 
     of the territorial waters of the United States,'' after 
     ``recreational endorsement,''.

     SEC. 309. INCREASE IN CIVIL PENALTIES FOR VIOLATIONS OF 
                   CERTAIN BRIDGE STATUTES.

       (a) Section 5(b) of the Bridge Act of 1906 (33 U.S.C. 495) 
     is amended by striking ``$1,000.'' and inserting 
     ``$25,000.''.
       (b) Section 5(c) of the Act entitled ``An Act making 
     appropriations for the construction, repair, and preservation 
     of certain public works on rivers and harbors, and for other 
     purposes'', approved August 18, 1894 (33 U.S.C. 499), is 
     amended by striking ``$1,000.'' and inserting ``$25,000.''.
       (c) Section 18(c) of the Act entitled ``An Act making 
     appropriations for the construction, repair, and preservation 
     of certain public works on rivers and harbors, and for other 
     purposes'', enacted March 3, 1899 (33 U.S.C. 502) is amended 
     by striking ``$1,000.'' and inserting ``$25,000.''.
       (d) Section 510(b) of the General Bridge Act of 1946 (33 
     U.S.C. 533) is amended by striking ``$1,000.'' and inserting 
     ``$25,000.''.

     SEC. 310. CIVIL PENALTIES FOR FAILURE TO COMPLY WITH 
                   RECREATIONAL VESSEL AND ASSOCIATED EQUIPMENT 
                   SAFETY STANDARDS.

       Section 4311 of title 46, United States Code, is amended--
       (1) by striking the first sentence of subsection (b) and 
     inserting ``(1) A person violating section 4307(a) of this 
     title is liable to the United States Government for a civil 
     penalty of not more than $5,000, except that the maximum 
     civil penalty may be not more than $250,000 for a related 
     series of violations.'';
       (2) by striking ``4307(a)(1),'' in the second sentence of 
     subsection (b) and inserting ``4307(a),'':
       (3) by redesignating paragraphs (1) and (2) of subsection 
     (b) as subparagraphs (A) and (B), respectively;
       (4) by adding at the end of subsection (b) the following:
       ``(2) Any person, including, a director, officer, or 
     executive employee of a corporation, who knowingly and 
     willfully violates section 4307(a) of this title, shall be 
     fined not more than $10,000, imprisoned for not more than one 
     year, or both.''; and
       (5) by striking ``$1,000.'' in subsection (c) and inserting 
     ``$5,000.''.

     SEC. 311. OIL SPILL LIABILITY TRUST FUND; EMERGENCY FUND.

       Section 6002(b) of the Oil Pollution Act of 1990 (33 U.S.C. 
     2752(b)) is amended by striking ``$50,000,000'' and inserting 
     ``$150,000,000''.

     SEC. 312. LAW ENFORCEMENT POWERS.

       (a) In General.--Chapter 5 of title 14, United States Code, 
     is amended by inserting after section 95 the following:

     ``Sec.  95a. Law enforcement powers

       ``(a) In General.--Subject to guidelines approved by the 
     Secretary and the Attorney General, members of the Coast 
     Guard may, in the performance of official duties--
       ``(1) carry firearms;
       ``(2) make arrests without warrant for any offense against 
     the United States committed in their presence, or for any 
     felony cognizable under the laws of the United States if they 
     have reasonable grounds to believe that the person to be 
     arrested has committed or is committing such felony; and
       ``(3) seize property as provided by law.
       ``(b) Application With Other Authority.--The provisions of 
     this section are in addition to any powers conferred by law 
     upon such officers, and not in limitation of any powers 
     conferred by law upon such officers, or any other officers of 
     the United States.''.
       (b) Conforming Amendment.--The chapter analysis for chapter 
     5 of title 14, United States Code, is amended by inserting 
     after the item relating to section 95 the following:

``95a. Law enforcement powers.''.

     SEC. 313. CORRECTION TO DEFINITION OF FEDERAL LAW ENFORCEMENT 
                   AGENCIES IN THE ENHANCED BORDER SECURITY AND 
                   VISA ENTRY REFORM ACT OF 2002.

       Paragraph (4) of section 2 of the Enhanced Border Security 
     and Visa Entry Reform Act of 2002, Pub.L. 107-173, is amended 
     by striking subparagraph (G) and inserting the following:
       ``(G) The United States Coast Guard.''.

                        TITLE IV--MISCELLANEOUS

     SEC. 401. CONVEYANCE OF LIGHTHOUSES.

       Section 308(c) of the National Historic Lighthouse 
     Preservation Act of 2000 (16 U.S.C. 470w-7(c)) is amended by 
     adding at the end the following:
       ``(4) Lighthouses originally conveyed under other 
     authority.--Upon receiving notice of an executed or intended 
     conveyance

[[Page 7766]]

     by sale, gift, or any other manner of a lighthouse conveyed 
     under authority other than this Act, the Secretary shall 
     review the executed or proposed conveyance to ensure that any 
     new owner will comply with any and all conditions of the 
     original conveyance. If the Secretary determines that the new 
     owner has not or is unable to comply with those conditions 
     the Secretary shall immediately invoke any reversionary 
     interest or take such other action as may be necessary to 
     protect the interests of the United States.''.

     SEC. 402. LORAN-C.

       There are authorized to be appropriated to the Department 
     of Transportation, in addition to funds authorized for the 
     Coast Guard for operation of the LORAN-C system, for capital 
     expenses related to LORAN-C navigation infrastructure, 
     $25,000,000 for fiscal year 2004. The Secretary of 
     Transportation may transfer from the Federal Aviation 
     Administration and other agencies of the Department funds 
     appropriated as authorized under this section in order to 
     reimburse the Coast Guard for related expenses.

  Mr. KERRY. Mr. President, I rise today to discuss the merits of the 
Coast Guard Authorization Act of 2003. This bill authorizes 
appropriations for fiscal year 2004 for the Coast Guard and will be 
introduced by my subcommittee chairman Senator Snowe today. I thank 
Senator Snowe for her work on this legislation and her willingness to 
work with me and others on the Commerce Committee to improve it.
  The events of September 11 resulted in a new mandate for the Coast 
Guard as port security and homeland defense missions rose to the 
forefront of its responsibilities. Homeland Security officials realized 
that our ports and coastlines were vulnerable to terrorist attacks and 
quickly charged the Coast Guard with additional missions to help 
protect the homeland. Though I have no doubt that the Coast Guard will 
continue to play a valuable role in our domestic security, as it 
should, I have voiced my concern over the past year that traditional 
missions have suffered as a result of these new security 
responsibilities. Fishery patrols, drug and illegal immigrant 
interdiction and Marine resources protection have in large measure 
fallen by the wayside since September 11. We simply cannot allow this 
to happen. We should provide the Coast Guard sufficient funding to meet 
its new and traditional missions.
  In light of this, I am pleased that the bill increases the Coast 
Guard's budget by 10 percent, to $6.8 billion. This reflects a $500 
million increase over last year's budget and is virtually identical to 
what the President has requested. Of this amount, roughly $4.7 billion 
is earmarked for operating expenses, an increase of $400 million over 
fiscal year 2003. The bill also authorizes $775 million for 
acquisition, construction and improvements, a $33 million increase over 
fiscal year 2003.
  Although I support these budget numbers, I have not co-sponsored the 
bill because it does not include an authorization for the costs the 
Coast Guard will incur complying with the Maritime Transportation 
Security Act we passed last year. We know that the Coast Guard will 
require additional funds to oversee and coordinate the port security 
upgrades mandated by the law, and I feel strongly that a port security 
provision needs to be added to the bill before it passes the Senate. 
Considering that we are waging a war on terror, port security should be 
part of any Coast Guard reauthorization bill. Senator Snowe has agreed 
to work with me to draft additional language which would provide the 
Coast Guard with adequate funding. I look forward to drafting a 
comprehensive provision with my colleague to help the Coast Guard 
improve port security.
  The Coast Guard has unique missions not covered by any other Federal 
agency. It is the only U.S. military service with domestic law 
enforcement authority, and it has taken on many new homeland security 
missions since September 11. As such, I am pleased that the bill 
authorizes an active duty personnel level of 45,500. I've consistently 
supported raising personnel levels because the agency is charged with 
patrolling 95,000 miles of coastline, enforcing fish and marine 
conservation laws, conducting search-and-rescue missions, drug and 
illegal immigrant interdiction, along with its new homeland security 
missions. This is an awesome responsibility for an agency that is 
smaller than the New York City Police Department. Ultimately, as the 
Coast Guard becomes more integrated into the Department of Homeland 
Security, we may need to authorize higher personnel levels to ensure 
that the agency can adequately meet all its missions.
  I am also pleased that the bill includes a provision increasing 
funding levels for the Oil Spill Liability Trust Fund. For the past 3 
years, emergency fund expenditures have exceeded the $50 million annual 
appropriation, reaching a projected high of over $100 million this 
fiscal year. The fund has relied on carryovers from prior year balances 
to augment the annual appropriation and meet the increased need. This 
provision would increase the amount of the annual appropriation from 
$50 million to $150 million, thus reducing reliance on carryovers from 
prior year balances to augment the annual appropriation and meet the 
increased need.
  I will also be working with my colleagues to include several other 
important provisions in this legislation as we move forward. For 
example, because the Coast Guard is still below pre-9/11 levels for 
fisheries enforcement, I will be seeking a provision that will require 
the Coast Guard to better coordinate its fisheries enforcement efforts 
with other Federal agencies, such as NOAA, and relevant State and local 
agencies. Also, some measures ought to be taken to extend certain 
provisions of the Oil Pollution Act to vessels that, due to their size, 
still pose a significant risk to our environment in the event of an oil 
spill.
  Lastly, I would like to acknowledge the inclusion of a $25 million 
authorization for the Loran-C radio navigation system, which is used by 
fishermen and general aviation pilots as well as the Coast Guard. The 
Loran system is very reliable, and I feel strongly that we should 
continue to fund it as a secondary navigation system to the Global 
Positioning System. Although GPS is certainly the most sophisticated 
and modern tracking system now in operation, it is imperative that we 
retain an alternative navigation system and not simply throw all of our 
eggs in one basket. GPS signals can be jammed and are subject to 
interference. The Loran-C provision has been in past Coast Guard 
reauthorization bills and was fully appropriated by the Congress for 
fiscal year 2003. It is important that we continue to support this 
system.
  I support the provisions in this bill and I look forward to improving 
it as it moves through the legislative process.
                                 ______
                                 
      By Mr. BOND (for himself and Mr. Johnson):
  S. 735. A bill to amend the Internal Revenue Code of 1986 to clarify 
the exemption from tax for small property and casualty insurance 
companies; to the Committee on Finance.
  Mr. BOND. Mr. President, I rise today to introduce a bill that 
addresses an inequity facing an important segment of the small business 
community. This legislation is simple and straight forward--it adjusts 
the current tax exemption that has existed since 1942 for small 
property and casualty, P&C, insurance companies so that it keeps pace 
with inflation.
  As the former Chairman and Ranking Member of the Committee on Small 
Business and Entrepreneurship, I have heard from many small P&C 
insurers in Missouri and across the Nation that they are having to 
consider raising their premiums simply because the tax laws have not 
kept pace with inflation. Under current law, mutual and stock P&C 
insurance companies are exempt from Federal income taxes if the greater 
of their direct or net written premiums in a taxable year do not exceed 
$350,000.
  For companies that grow above the $350,000 threshold, current law 
permits electing P&C insurance companies to be taxed only on their 
investment income, provided their premiums do not exceed $1.2 million. 
Unfortunately, these thresholds, which were last updated in the Tax 
Reform Act of 1986, have not been adjusted for inflation.
  This situation has created an unintended outcome. Take, for instance, 
a

[[Page 7767]]

small P&C insurer in my State that started insuring the local farmers 
in the late 1980s. Over the ensuing years, the company's client base 
changed very little, but the insurance premiums increased gradually to 
keep pace with inflationary pressures. As a result, while the business 
itself has not grown, its premium base has and with it the loss of the 
tax exemption (or the alternative tax on investment income).
  For the farmers and ranchers covered by the small P&C insurer, this 
loss is certain to mean higher insurance premiums, leaving the client 
with the choice of cutting coverage or paying higher costs, neither of 
which is a real option. And for our agricultural community over the 
past few years, this choice is about the last thing they need.
  The bill I introduce today would correct this problem by simply 
adjusting the $350,000 and $1.2 million thresholds to bring them up to 
the level they would have been this year if the 1986 tax code had 
included an inflation adjustment. Accordingly, the tax exemption would 
apply to P&C insurers with premiums that do not exceed $575,000, and 
the alternative for taxation of investment income would apply to 
companies with premiums above $575,000 but not more than $1,971,000. 
The bill would apply for taxable years beginning in 2003 and would 
index both thresholds for inflation thereafter.
  According to the National Association of Mutual Insurance Companies, 
this legislation will help at least 665 small P&C insurance companies 
nationwide. In my State under current law, only 23 out of 86 small 
insurance companies are currently tax-exempt. Under this proposed 
legislation, at least 66 of the 86 small insurance companies will be 
covered, thereby enabling them to continue providing critical insurance 
coverage to small businesses across Missouri.
  With this legislation, we have an opportunity to infuse some fairness 
into our tax code and at the same time help the thousands of farmers, 
ranchers, and entrepreneurs covered by small P&C insurers in this 
country. I ask my colleagues to support this legislation, and I look 
forward to working with the Finance Committee to see it enacted into 
law.
  Mr. President, I ask unanimous consent that the text of the bill be 
printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 735

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Small Insurance Company 
     Inflation Adjustment Act''.

     SEC. 2. CLARIFICATION OF EXEMPTION FROM TAX FOR SMALL 
                   PROPERTY AND CASUALTY INSURANCE COMPANIES.

       (a) Premium Limitations Increased To Reflect Inflation 
     Since First Imposed.--
       (1) Increased limitations for exemption from tax.--
       (A) Subparagraph (A) of section 501(c)(15) of the Internal 
     Revenue Code of 1986 is amended by striking ``$350,000'' and 
     inserting ``$575,000''.
       (B) Paragraph (15) of section 501(c) of such Code is 
     amended by adding at the end the following new subparagraph:
       ``(D) In the case of any taxable year beginning in a 
     calendar year after 2003, the $575,000 amount set forth in 
     subparagraph (A) shall be increased by an amount equal to--
       ``(i) $575,000, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for such calendar year by substituting 
     `calendar year 2002' for `calendar year 1992' in subparagraph 
     (B) thereof.


     If the amount as adjusted under the preceding sentence is not 
     a multiple of $1,000, such amount shall be rounded to the 
     next lowest multiple of $1,000.''.
       (2) Increased limitations for alternative tax liability.--
       (A) Clause (i) of section 831(b)(2)(A) of such Code is 
     amended to read as follows:
       ``(i) the net written premiums (or, if greater, direct 
     written premiums) for the taxable year exceed the amount 
     applicable under section 501(c)(15)(A) but do not exceed 
     $1,971,000, and ''.
       (B) Paragraph (2) of section 831(b) of such Code is amended 
     by adding at the end the following new subparagraph:
       ``(C) Inflation adjustment.--In the case of any taxable 
     year beginning in a calendar year after 2003, the $1,971,000 
     amount set forth in subparagraph (A) shall be increased by an 
     amount equal to--
       ``(i) $1,971,000, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for such calendar year by substituting 
     `calendar year 2002' for `calendar year 1992' in subparagraph 
     (B) thereof.

     If the amount as adjusted under the preceding sentence is not 
     a multiple of $1,000, such amount shall be rounded to the 
     next lowest multiple of $1,000.''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2002.
                                 ______
                                 
      By Mr. ENSIGN (for himself, Mr. Allard, Ms. Cantwell, Mr. Dorgan, 
        Mr. Harkin, Mr. Levin, Mr. Lugar, Mr. Hagel, Mr. Lieberman, Mr. 
        Wyden, Mr. Reid, and Mr. Leahy):
  S. 736. A bill to amend the Animal Welfare Act to strengthen 
enforcement of provisions relating to animal fighting, and for other 
purposes; to the Committee on Agriculture, Nutrition, and Forestry.
  Mr. ENSIGN. Mr. President, I rise to introduce the Animal Fighting 
Enforcement Prohibition Act. I would like to thank my colleagues for 
their support in this endeavor to protect the welfare of animals. This 
legislation targets the troubling, widespread, and sometimes 
underground activities of dogfighting and cockfighting where dogs and 
birds are bred and trained to fight to the death. This is done for the 
sheer enjoyment and illegal wagering of the animals' handlers and 
spectators.
  These activities are reprehensible and despicable. Our States' laws 
reflect this sentiment. All 50 States have prohibited dogfighting. It 
is considered a felony in 46 states. Cockfighting is illegal in 47 
States, and it is a felony in 26 States. In my home State of Nevada, 
both dogfighting and cockfighting are considered felonies. In fact, it 
is a felony to even attend a dogfighting or cockfighting match.
  Unfortunately, in spite of public opposition to extreme animal 
suffering, these animals fighting industries thrive. There are 11 
underground dogfighting publications and several above-ground 
cockfighting magazines. These magazines advertise and sell animals and 
the materials associated with animal fighting. They also seek to 
legitimize this shocking practice.
  During the consideration of the Farm Bill last year, a provision was 
included that closed loopholes in Section 26 of the Animal Welfare Act. 
Both the House and the Senate increased the maximum jail time for 
individuals who violate any provision of Section 26 of the Animal 
Welfare Act from one year to two years, making any violation a federal 
felony. However, during the conference, the jail-time increase was 
removed.
  The legislation that I am introducing today seeks to do three things. 
First, it restores the jail-time increase to treat the violations as a 
felony. I am informed by U.S. Attorneys that they are hesitant to 
pursue animal fighting cases with merely a misdemeanor penalty. To 
illustrate this, it is important to note that only three cases since 
1976 have advanced, even though the USDA has received innumerable tips 
from informants and requests to assist with State and local 
prosecutions. Increased penalties will provide a greater incentive for 
Federal authorities to pursue animal fighting cases.
  Second, the bill prohibits the interstate shipment of cockfighting 
implements, such as razor-sharp knives and gaffs. The specific knives 
are commonly known as ``slashers.'' The slashers and ice-pick-like 
gaffs are attached to the legs of birds to make the cockfighting more 
violent and to induce bleeding of the animals. These weapons are used 
only in cockfights. Since Congress has restricted shipment of birds for 
fighting, it should also restrict implements designed specifically for 
fights.
  Finally, the bill updates language regarding the procedures that 
enforcement agents follow when they seize the animals. This regards the 
proper care and transportation of the animals that are seized. It also 
states that the court may order the convicted person to pay for the 
costs incurred in the housing,

[[Page 7768]]

care, feeding, and treatment of the animals.
  This legislation is timely. Its need is emphasized with the recent 
outbreaks of Exotic Newcastle disease among poultry in my home state of 
Nevada. Exotic Newcastle disease is a deadly virus that spreads through 
migratory birds, vehicles, people's shoes, even across great distances 
through the air to attack birds of all types. It already has led to the 
destruction of about three million chickens and other birds in Nevada, 
California, and Arizona. It is widely suspected that illegal 
cockfighting contributes to the continuing spread of this disease. 
Agriculture interests in every state that houses the poultry industry 
are at risk of destruction by the possible spread of this disease. One 
of the ways to ensure greater protection against the spread of Exotic 
Newcastle Disease is to enforce the ban on interstate shipments of 
birds for the purpose of fighting. Our bill ensures that penalties are 
in place that will guarantee the enforcement of this ban.
  I appreciate the strong support of Senators Allard, Cantwell, Dorgan, 
Hagel, Harkin, Leahy, Levin, Lieberman, Lugar, Reid, and Wyden in this 
effort and look forward to the overwhelming support of my other 
colleagues in the Senate. I also wish to recognize Representative 
Robert Andrews for his leadership on a House version of this bill. 
Surely, this is an issue that must be addressed as soon as possible. We 
cannot allow this barbaric practice to continue in our civilized 
society.
                                 ______
                                 
      By Mrs. BOXER:
  S. 738. A bill to designate certain public lands in Humboldt, Del 
Norte, Mendocino, Lake, Napa, and Yolo Counties in the State of 
California as wilderness, to designate certain segments of the Black 
Butte River in Mendocino County, California as a wild or scenic river, 
and for other purposes; to the Committee on Energy and Natural 
Resources.
  Mrs. BOXER. Mr. President, today I am introducing a bill that will 
protect hundreds of thousands of acres of wilderness in Northern 
California. The Northern California Coastal Wild Heritage Wilderness 
Act would designate 295,410 acres in 14 areas as Federal wilderness and 
would protect 24.4 miles of the Black Butte Creek.
  California's natural treasures have always been one of the things 
that make California unique, drawing millions of people to them over 
the years to revel in their wild beauty. But that beauty must not be 
taken for granted. That is why I introduced the California Wild 
Heritage Act during the 107th Congress and will soon be reintroducing 
it. It was the first statewide wilderness bill for California since 
1984.
  The California Wild Heritage Act would protect more than 2.5 million 
acres of public land, as well as the free-flowing portions of 22 
rivers. Every acre of wild land is a treasure, but the areas protected 
in this bill are some of California's most precious.
  I was thrilled that the 107th Congress passed legislation to 
designate over 56,000 acres of my statewide bill, lands in the Los 
Padres National Forest, as wilderness. It was a wonderful first step. 
While I look forward to passage of the entire statewide bill, it is 
important that we move now to designate these special places as 
California wilderness areas.
  That is why today I am pleased to be joining Representative Mike 
Thompson of California in introducing legislation that contains the 
portions of my bill in five counties in California's First 
Congressional District. Let me mention a couple of examples. In 
southwestern Humboldt and northwestern Mendocino counties, 41,100 acres 
of the King Range will be protected as wilderness. This is the wildest 
portion of the California coast, boasting the longest stretch of 
undeveloped coastline in the United States outside of Alaska. This bill 
also protects 24.4 miles of the Black Butte Creek as a wild and scenic 
river. Black Butte Creek is so wild it is only crossed by one road for 
its entire length.
  This bill would also protect the precious plant and animal species 
that make their homes in these areas. Endangered and threatened species 
whose habitats will be protected by this bill include the California 
brown pelican, steelhead trout, coho salmon, bald eagle, peregrine 
falcon, northern spotted owl, and Roosevelt elk.
  For every Californian, there is currently less than half an acre of 
wilderness set aside. This is too little. During the last 20 years, 
675,000 acres of unprotected wilderness--approximately the size of 
Yosemite National Park--lost their wilderness character due to 
activities such as logging and mining. As our population increases, and 
California becomes home to almost 50 million people by the middle of 
the century, these development pressures are going to skyrocket. If we 
fail to act now, there simply will not be any wild lands or wild rivers 
left to protect.
  Those of us who live in the United States have a very special 
responsibility to protect our natural heritage. Past generations have 
done it. They have left us with the wonderful and amazing gifts of 
Yosemite, Big Sur and Joshua Tree. These are places that Americans 
cannot imagine living without. Now it is our turn to protect this 
legacy for future generations--for our children's children, and their 
children. This bill is a start.
                                 ______
                                 
      By Mr. AKAKA (for himself, Mr. Domenici, Mr. Lieberman, Mr. Kyl, 
        Mr. Reid, Mr. Bayh, Mr. Inouye, and Mr. Bingaman):
  S. 739. A bill to reauthorize and amend the Spark M. Matsunaga 
Hydrogen Research, Development, and Demonstration Act of 1990, and for 
other purposes; to the Committee on Energy and Natural Resources.
  Mr. AKAKA. Mr. President, I am pleased to join Senator Domenici, 
Chairman of the Senate Energy and Natural Resources Committee, and my 
colleagues Senator Lieberman, Senator Kyl, Senator Reid, Senator Bayh, 
and Senator Inouye, in introducing legislation that affirms the 
priority and importance of hydrogen programs in Federal research and 
development initiatives and charts a course of action toward the 
``hydrogen economy.'' The legislation reauthorizes the hydrogen 
programs in the Department of Energy and strengthens the Federal 
interagency effort to promote hydrogen research and development 
programs. It establishes a new program to demonstrate hydrogen 
technologies and their integration with fuel cells at Federal, State, 
and local government facilities.
  Growing numbers of my colleagues in the Senate and in the House have 
indicated their interest in and commitment to promoting a hydrogen 
economy for the future. This commitment comes from a substantial legacy 
in the House and the Senate. This bill carries the names of two former 
Congressmen--the late George E. Brown, Jr., and Robert S. Walker--to 
honor their formidable and dedicated advocacy of hydrogen as a fuel 
source. In the Senate, my predecessor, Senator Spark Matsunaga, created 
the first formal hydrogen research program in this country, designed to 
accelerate development of a domestic capability to produce an 
economically renewable energy source. He introduced legislation in 1982 
and his perseverance led to the Matsunaga Hydrogen Act, enacted in 1990 
shortly after his death. When I succeeded Spark in the Senate, I took 
up the cause of hydrogen and continue to believe that it is one of our 
best hopes for independence from fossil fuels.
  The Hydrogen Future Act of 1996, which followed the Matsunaga 
Hydrogen Act, expanded the research, development, and demonstration 
program. It authorized activities leading to production, storage, 
transformation, and use of hydrogen for industrial, residential, 
transportation, and utility applications. It has enjoyed bipartisan 
support in Congress.
  More recently in the 107th Congress, I have worked closely with 
Senator Harkin and my colleagues on the Energy Committee to reauthorize 
the Hydrogen Future Act. We were able to include it in the Energy 
Policy Act of 2002, the comprehensive energy policy bill considered by 
the Senate during the spring of 2002. While the Senate and House were 
unable to come to agreement on the omnibus bill itself, progress was 
made on the research and

[[Page 7769]]

development provisions, including hydrogen. I am pleased that many of 
my colleagues have begun to recognize the potential of hydrogen as a 
clean source of energy. I expect the numbers will only increase.
  You may well ask, ``Why do we need the Hydrogen Future Act of 2003 
when we have the President's initiatives for hydrogen?'' Because we 
need to reauthorize the underlying Federal framework for the direction 
of and investment in hydrogen research and development. The 
authorization for the program expired at the end of calendar year 2001. 
While I share the President's enthusiasm for hydrogen, I believe we 
must provide a robust legislative foundation for research and 
development involving hydrogen--for fuel cells, for demonstration 
projects at Government facilities, stationary and mobile projects, and 
near- and short-term goals, as well as long-term goals. The Hydrogen 
Future Act of 2003 reauthorizes and improves this strong foundation. I 
like to call my bill a ``workhorse'' bill. It is not fancy, but we need 
it and it gets the job done.
  The bill highlights hydrogen's potential as an efficient and 
environmentally friendly source of energy. It emphasizes the need for 
strong partnerships between the Federal Government, industry, and 
academia; and it underscores the importance of hydrogen research. The 
bill also encourages private sector investment and cost sharing for the 
development of hydrogen as an energy source. These basic steps will 
move hydrogen closer to being a fuel we can rely on in many different 
aspects of our lives.
  In these days of soaring energy prices, oil cartels, air pollution, 
global climate change and greenhouse gases, hydrogen is a dazzling 
alternative. We can have a zero-pollution fuel. It can be produced 
domestically, ending our dependence on foreign oil. The question is not 
whether there will be a hydrogen age but when.
  Hydrogen as a fuel can help us resolve our energy problems and 
satisfy much of the world's energy needs. I am convinced that sometime 
in the 21st century, hydrogen will join electricity as one of our 
Nation's primary energy carriers, and hydrogen will ultimately be 
produced from renewable sources.
  In the next twenty years, increasing concerns about global climate 
change and energy security will help bring about the penetration of 
hydrogen in several niche markets. The growth of fuel cell technology 
will allow the introduction of hydrogen in both the transportation and 
electricity sectors. I realize that fossil fuels are and will continue 
to be a significant long-term transitional resource as we move toward 
renewables. I am optimistic, however, that in my lifetime I will be 
able to see hospitals, homes, military bases and cars running on 
locally-produced sources of hydrogen.
  Clearly, this is a long-term vision for hydrogen energy as a 
renewable resource. Progress on hydrogen technology is being made, and 
challenges and barriers are being surmounted, at an accelerating pace 
on a global scale. According to the Japanese Automobile Manufacturers 
Association, Toyota and Honda will sell or lease fuel cell vehicles in 
the U.S. and Japan this year. Ford Motor Company is now showing its new 
hydrogen powered prototype, the Ford Model U. Fuel cells for 
distributed stationary power are being commercialized and installed in 
various locations in the United States and worldwide. General Motors 
recently unveiled a stationary, hydrogen-powered generator that could 
be used to provide energy for homes and businesses. Transit bus 
demonstrations are underway in the U.S. and Europe. The Nation's 
capital city, Washington, DC, is one of the cities participating in the 
project.
  We are all familiar with Iceland's far-sighted bid to become the 
world's first hydrogen-based economy. It has already made great strides 
in using renewable resources for its heating and electricity needs. The 
Nation is committed to transforming its remaining fossil fuel-based 
transportation sector, and its economically important fishing fleet, to 
hydrogen power. Iceland will have no need to import oil. Now there is a 
revolutionary thought!
  Closer to home, I am particularly pleased that the State of Hawaii is 
taking the lead in ushering in the hydrogen era. The State has 
identified hydrogen-based renewable fuels, and the jobs it can create, 
as a high priority, high-tech opportunity that can jump-start and 
diversify our economy. The cost of electricity and gasoline in Hawaii 
are important incentives for finding cheaper, home-grown power. The 
Hawaii Natural Energy Institute of the University of Hawaii concluded 
that large-scale hydrogen use for transportation can be competitive 
this decade.
  I am particularly pleased with the public-private partnership between 
the University of Hawaii's Natural Energy Institute, the Naval Research 
Laboratory, United Technologies Fuel Cells, and Hawaiian Electric 
Company. In January 2002, the Institute announced a partnership with 
the Department of Defense to establish a hydrogen fuel cell test 
facility in Honolulu. The facility will house up to eight state-of-the 
art fuel cell test stands and related operations supporting fuel cell 
development. The Institute has made Hawaii a leader in the development 
and testing of advanced fuel cell systems and fuels processing.
  In California, the State's zero emissions vehicle requirements favor 
early introduction of hydrogen-powered vehicles. The city of Richmond, 
CA, opened the area's first hydrogen fueling station in October, 2002. 
The hydrogen fueling station looks like a gasoline pump, and can supply 
the daily fueling needs of a small fleet of vehicles at a fueling rate 
of one to two minutes per vehicle. These are important initiatives and 
illustrate the value of public-private partnerships along the pathway 
to a different energy source that requires an entirely different 
infrastructure.
  Despite the progress, problems and challenges remain. First, hydrogen 
production costs from fossil and renewable energy sources remain high. 
Second, attractive low-cost storage technologies are not available. 
Third, the infrastructure is inadequate. We need to address these 
challenges and barriers if we are to enjoy the benefits of an efficient 
and environmentally friendly energy sources.
  An aggressive research and development program can help us overcome 
these challenges by reducing production costs from fossil and renewable 
sources, advancing storage technologies, and addressing safety concerns 
with efforts in establishing codes and standards. Our Nation needs a 
sustained and focused research, development, and demonstration program 
to make hydrogen a viable source of energy.
  The strategy should focus on mid-term and long-term goals. We must 
support development of technologies that enable distributed electric-
generation fuel cell systems and hydrogen fuel cell vehicles for 
transportation applications. For the long term, we should look to 
hydrogen technologies that enhance renewable systems and offer us the 
promise of clean, abundant fuels.
  The current Hydrogen Program, administered by the Department of 
Energy, supports a broad range of research and development projects in 
the areas of hydrogen production, storage, and use in a safe and cost-
effective manner. Some of these new technologies may become available 
for wider use in the next few years. The most promising include 
advanced natural gas- and biomass-based hydrogen production 
technologies, high pressure gaseous and cryogas storage systems, and 
reversible Proton Exchange Membrane, PEM, fuel cell systems. Other 
projects lay the groundwork for long range opportunities. These 
activities need continued support if the Nation is to enjoy the 
benefits of a clean energy source.
  The Hydrogen Program utilizes the talents of our national 
laboratories and our universities. The Lawrence Livermore, Los Alamos, 
Sandia, and Oak Ridge National Laboratories, as well as Jet Propulsion 
Laboratory and National Renewable Energy Laboratory, are involved in 
the program. The DOE Field Office at Golden, Colorado, and Nevada 
Operations Office in Nevada are also involved. University-led centers-

[[Page 7770]]

of-excellence have been established at the University of Miami and the 
University of Hawaii. U.S. participation in the International Energy 
Agency contributes to the advancement of DOE hydrogen research through 
international cooperation. The program has also built strong links with 
the industry. This has resulted in strong industry participation and 
cost sharing. Cooperation between government, industry, universities, 
and the national laboratories is key to the successful development and 
commercialization of new and environmentally friendly energy 
technologies.
  Today we are introducing legislation that reauthorizes and expands 
the Hydrogen Future Act of 1996. It highlights the need for a strong 
partnership between the Federal government, industry, and academia, and 
the importance of continued support for hydrogen research. It fosters 
collaboration between Federal agencies, state and local governments, 
universities, and industry, and modifies the current cost-sharing 
requirements to enable more participation in research projects by small 
companies. It adds provisions for the demonstration of hydrogen 
technologies at government facilities to expedite wider application of 
these technologies. The bill includes language to encourage 
international activities where appropriate in the DOE programs, both 
because of the need to develop world markets for our products and to 
encourage international development on a sustainable path. The 
legislation clarifies the composition of the Hydrogen Technical 
Advisory Panel that oversees the program for DOE and enhances inter-
agency and inter-governmental cooperation in the hydrogen program.
  The legislation we are introducing today authorizes $300 million over 
the next five years for research and development for hydrogen 
production, storage and use. This will allow advancement of 
technologies such as smaller-scale production systems that are 
applicable to distributed-generation and vehicle applications, advanced 
pressure vessels, photobiological and photocatalytic production of 
hydrogen, and carbon nanotubes, graphite nanofibers, and fullerenes.
  The bill also authorizes $135 million for conducting integrated 
demonstrations of hydrogen technologies at governmental facilities. 
This provision will help secure industry participation through 
competitive solicitations for technology development and testing. It 
will test the viability of hydrogen production, storage, and use, and 
lead to the development of hydrogen-based operating experience 
acceptable to meet safety codes and standards.
  By supporting this bill, we will be ushering in a new era of non-
polluting energy. I urge my colleagues to support this important 
legislation.
                                 ______
                                 
      By Mr. LIEBERMAN (for himself, Ms. Collins, Mr. Bunning, Mr. 
        Hollings, Mr. Dayton, Ms. Landrieu, Ms. Stabenow, Mr. 
        Lautenberg, and Mr. Graham of South Carolina):
  S. 740. A bill to amend title XVII of the Social Security Act to 
improve patient access to, and utilization of, the colorectal cancer 
screening benefit under the medicare program; to the Committee on 
Finance.
  Mr. LIEBERMAN. Mr. President, I rise to introduce the ``Colon Cancer 
Screen for Life Act of 2003.'' I am pleased that my colleagues Senators 
Collins, Bunning, Dayton, Hollings, and Landrieu have joined me in 
introducing this very important bill.
  As many of my colleagues know from personal experience, colon cancer 
is a devastating disease, taking the lives of 57,000 Americans each 
year. It is the fourth most commonly diagnosed cancer in both men and 
women and the second most common cause of cancer-related death in the 
nation. Close to 150,000 new cases are diagnosed each year.
  But colon cancer can be combated, controlled, and potentially 
conquered if it's caught in the earliest stages. In fact, colon cancer 
is a rare form of cancer in that it can even be prevented through 
screening--if pre-cancerous polyps are quickly identified and removed.
  The survival rate when colon cancer is detected at an early, 
localized stage is 90 percent. But only 37 percent of such cancers are 
discovered at that stage. The later the disease is caught, the lower 
the survival rate.
  That's why, in 1997, Congress led the fight against colon cancer by 
making screening for the disease a covered benefit for every Medicare 
recipient. That is especially significant because the risk of colon 
cancer rises with age.
  Heightened awareness and greater access to treatment are working. 
Over the last 15 years, we've seen steady, if slow, annual declines in 
both incidence rates and mortality rates tied to colon cancer.
  But we can do more, because barriers to screening still exist. Since 
the preventive benefits were enacted in 1997, there has been only a one 
percent increase in utilization by Medicare beneficiaries of either a 
screening or diagnostic colonoscopy. The Centers for Disease Control 
reports that screening for colon cancer lags far behind screening for 
other cancers.
  We must do better and we can.
  Modern technology has blessed us with extremely accurate screening 
tools, in particular the colonoscopy--which results in higher colon 
cancer identification rates and better long-term survival rates. A 
consultation with a doctor before a colonoscopy is required to ensure 
that patients are properly prepared before they undergo the procedure.
  Unfortunately, Medicare does not pay for that consultation before a 
screening, creating an obvious obstacle to preventive treatment for 
many men and women. The Colon Cancer ``Screen for Life'' Act would 
cover these medical visits so that more Medicare beneficiaries will 
have easy access to screening.
  Further, with this legislation, just as Congress has done for 
screening mammography, screening colonoscopy will not count toward a 
senior's Medicare deductible. This will remove additional financial 
disincentives to screening.
  Finally, with this bill, we're breaking through another big barrier 
to early detection and treatment.
  The medical reality is that colonoscopy procedures are invasive and 
require sedation to perform--making it safer for them to be conducted 
in a hospital setting, where safety standards and emergency procedures 
are in place, rather than in a private doctor's office. But when 
doctors perform colonoscopies for Medicare patients in a hospital, they 
take a hit on cost--because reimbursement for the procedure performed 
there has decreased by nearly 36 percent since 1997.
  As a result, to balance their budgets, doctors and hospitals may 
choose to space out their Medicare patients, creating long waits for 
and limited access to these vital screenings.
  The job of medical services should be cutting cancer, not cutting 
costs. Unfortunately, today something as critical as colon cancer 
screening is moderated not by the real needs of patients and their 
medical doctors, but by market forces and market forces alone.
  To address the problem, the ``Screen for Life'' Act would increase 
the payment rates for colonoscopies performed in hospital facilities by 
30 percent. The result will be more access to early detection and 
treatment and thousands of lives saved.
  Colon cancer is a formidable foe, but we can make a difference in the 
fight against it. Early detection and treatment is our first line of 
defense.
  With the help of the Colon Cancer ``Screen for Life'' Act, I hope 
that in a decade we'll have fewer cancer cases to contend with and more 
survivors to celebrate the simple fact that screening saves lives.
                                 ______
                                 
      By Mr. SESSIONS (for himself, Mr. Bingaman, Mr. Gregg, Mr. 
        Miller, Mr. Allard, Mrs. Lincoln, Mr. Ensign, Ms. Collins, Mr. 
        Crapo, Mr. Craig, and Mr. Harkin):
  S. 741. A bill to amend the Federal Food, Drug, and Cosmetic Act with 
regard to new animal drugs, and for other purposes; to the Committee on 
Health, Education, Labor, and Pensions.
  Mr. SESSIONS. Mr. President, I rise today in order to bring attention 
to a

[[Page 7771]]

problem that unfortunately goes largely unnoticed except by those who 
are directly affected. Livestock and food animal producers, pet owners, 
zoo and wildlife biologists, and animals themselves face a severe 
shortage of approved animal drugs for use in minor species.
  Minor species include thousands of animal species, including all 
fish, most birds, and sheep. By definition, minor species are any 
animals other than the major species--cattle, horses, chickens, 
turkeys, dogs, and cats. A similar shortage of drugs and medicines for 
major animal species exists for diseases that occur infrequently or 
which occur in limited geographic areas. Due to the lack of 
availabiliity for these minor use drugs, millions of animals go 
untreated or treatment is delayed. Unnecessary animal physical and 
human emotional suffering results, and human health may be threatened 
as well.
  Without access to these necessary minor use drugs, farmers and 
ranchers also suffer. An unhealthy animal that is left untreated can 
spread disease throughout an entire stock of its fellow specie. This 
causes severe economic hardship to struggling ranchers and farmers. For 
example, sheep ranchers lost nearly $42 million worth of livestock 
alone in 2002. The sheep industry estimates that if it had access to 
effective and necessary drugs to treat diseases, growers' reproduction 
costs for their animals would be cut by up to 15 percent. In addition, 
feedlot deaths would be reduced by 1 to 2 percent, adding approximately 
$8 million of revenue to the industry.
  Alabama's catfish industry ranks second in the Nation. Though it is 
not the State's only aquacultural commodity, catfish is by far its 
largest. The catfish industry generates enormous economic opportunity 
in the State, particularly in West Alabama, one of the poorest regions 
in the State.
  The catfish industry estimates its losses at $60 million per year 
attributable to diseases for which drugs are not available. Indeed, it 
is not uncommon for a catfish producer to lose half his stock due to 
disease. The U.S. aquaculture industry overall, including food fish and 
ornamental fish, produces and raises over 800 different species. 
Unfortunately, this industry has only 6 drugs approved and available 
for use in treating aquaculture animal diseases. This results in 
tremendous economic hardship and animal suffering.
  Because of limited market opportunity, low profit margins, and the 
enormous capital investment required, it is seldom economically 
feasible for drug manufacturers to pursue research and development and 
then seek approval for drugs used in treating minor species and for 
infrequent conditions and diseases in all animals.
  I, along with Senator Bingaman, Senator Allard, Senator Collins, 
Senator Crapo, Senator Miller, Senator Craig, Senator Ensign, and 
Senator Lincoln, resolve to improve this situation by introducing the 
Minor Use and Minor Species Animal Health Act of 2003. This legislation 
will allow animal drug manufacturers the opportunity to develop and 
obtain approval for minor use drugs which are vitally needed by a wide 
variety of animal industries. Our legislation incorporates the major 
proposals of the FDA's Center for Veterinary Medicine to increase the 
availability of drugs for minor animal species and rare diseases in all 
animals. The Act creates incentives for animal drug manufacturers to 
invest in product development and obtain FDA marketing approvals.
  This legislation creates a program very similar to the successful 
Human Orphan Drug Program that has dramatically increased the 
availability of drugs to treat rare human diseases over the past 20 
years.
  The bill establishes two new ways to lawfully market new animal 
drugs:
  First, it establishes a conditional approval mechanism for new animal 
drugs for minor uses and minor species. Conditionally approved new 
animal drugs must meet the same new approval requirements for safety as 
new animal drugs approved under section 512 of the FDC Act. However, 
the effectiveness standard for conditionally approved drugs would 
differ from the effectiveness standard for new drugs approved under 
Section 512 in that a ``reasonable expectation of effectiveness'' 
rather than ``substantial evidence of effectiveness'' would be 
demonstrated. If the FDA approves an application for conditional 
approval, this approval will be in effect for 1 year, renewable for a 
maximum of 4 additional 1 year terms. This conditional approval is 
intended to allow drug sponsors to recoup some development costs 
through marketing the product prior to full, unconditional approval.
  Second, this legislation provides for an index of legally marketed 
unapproved new animal drugs for some non-food minor animal species. The 
index is intended to provide a way to lawfully market those minor 
species drugs for which there is unlikely to be sufficient financial 
incentive to seek a full or conditional approval. If the FDA determines 
that a new animal drug is eligible for listing on the index, the new 
drug will be added to the index if the benefits of using the drug 
outweigh the risks, taking into account the harm caused by the absence 
of an approved or conditionally approved drug for the use in question. 
The addition of a drug to the index will be based in large part on a 
report of an independent expert panel.
  The Minor Use and Minor Species Animal Health Act will not alter FDA 
drug-approval responsibilities that ensure the safety of animal drugs 
to the public. The FDA Center for Veterinary Medicine currently 
evaluates new animal drug products prior to approval and use. This 
rigorous testing and review process provides consumers with the 
confidence that animal drugs are safe for animals and consumers of 
products derived from treated animals. Current FDA requirements include 
guidelines to prevent harmful residues and evaluations to examine the 
potential for the selection guidelines to prevent harmful residues and 
evaluations to examine the potential for the selection of resistant 
pathogens. Any food animal medicine or drug considered for approval 
under this bill would be subject to these same assessments.
  The Minor Use and Minor Species Animal Health Act is supported by 43 
organizations, including the American Farm Bureau Federation, the 
Animal Health Institute, the American Veterinary Medical Association, 
and the National Aquaculture Association. This is vital legislation.
  This Act will reduce the economic risks and hardships which fall upon 
ranchers and farmers as a result of livestock diseases. It will benefit 
pets and their owners and benefit various endangered species and 
aquatic animals. The Act also will promote the health of all animal 
species while protecting human health and will alleviate unnecessary 
animal suffering. This is common-sense legislation which will benefit 
millions of American pet owners, farmers, and ranchers.
                                 ______
                                 
      By Mr. BROWNBACK (for himself, Mrs. Clinton, Mr. Leahy, Ms. 
        Mikulski, Mr. Smith, Mrs. Feinstein, Mrs. Murray, and Mr. 
        Bingaman):
  S. 742. A bill to authorize assistance for individuals with 
disabilities in foreign countries, including victims of warfare and 
civil strife, and for other purposes; to the Committee on Foreign 
Relations.
  Mr. BROWNBACK. Mr. President, I ask unanimous consent that the text 
of the bill be printed in the Record.
  There being no objection, the bill was ordered to be printed in the 
Record, as follows:

                                 S. 742

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

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``International Disability and 
     Victims of Warfare and Civil Strife Assistance Act of 2003''.

     SEC. 2. FINDINGS AND PURPOSE.

       (a) Findings.--Congress makes the following finding:
       (1)(A) According to the International Committee of the Red 
     Cross, there are tens of millions of landmines in over 60 
     countries around the world, and it has estimated that as many 
     as 24,000 people are maimed or killed each year by landmines, 
     mostly civilians, resulting in amputations and disabilities 
     of various kinds.
       (B) While the United States Government invests more than 
     $100,000,000 in mine action

[[Page 7772]]

     programs annually, including funding for mine awareness and 
     demining training programs, only about ten percent of these 
     funds go to directly aid landmine victims.
       (C) The Patrick Leahy War Victims Fund, administered by the 
     United States Agency for International Development, has 
     provided essential prosthetics and rehabilitation for 
     landmine and other war victims in developing countries who 
     are disabled and has provided long-term sustainable 
     improvements in quality of life for victims of civil strife 
     and warfare, addressing such issues as barrier-free 
     accessibility, reduction of social stigmatization, and 
     increasing economic opportunities.
       (D) Enhanced coordination is needed among Federal agencies 
     that carry out assistance programs in foreign countries for 
     victims of landmines and other victims of civil strife and 
     warfare to make better use of interagency expertise and 
     resources.
       (2) According to a review of Poverty and Disability 
     commissioned by the World Bank, ``disabled people have lower 
     education and income levels than the rest of the population. 
     They are more likely to have incomes below poverty level than 
     the non-disabled population, and they are less likely to have 
     savings and other assets . . . [t]he links between poverty 
     and disability go two ways--not only does disability add to 
     the risk of poverty, but conditions of poverty add to the 
     risk of disability.''.
       (3) Numerous international human rights conventions and 
     declarations recognize the need to protect the rights of 
     individuals regardless of their status, including those 
     individuals with disabilities, through the principles of 
     equality and non-discrimination.
       (b) Purpose.--The purpose of this Act is to authorize 
     assistance for individuals with disabilities, including 
     victims of landmines and other victims of civil strife and 
     warfare.

     SEC. 3. INTERNATIONAL DISABILITIES AND WAR VICTIMS 
                   ASSISTANCE.

       The Foreign Assistance Act of 1961 (22 U.S.C. 2151 et seq.) 
     is amended by inserting after section 134 the following:

     SEC. 135. INTERNATIONAL DISABILITIES AND WAR VICTIMS 
                   ASSISTANCE.

       ``(a) Authorization.--the President is authorized to 
     furnish assistance to individuals with disabilities, 
     including victims of civil strife and warfare, in foreign 
     countries.l
       ``(b) Activities.--The programs established pursuant to 
     subsection (a) may include programs, projects, and activities 
     such as the following:
       ``(1) Development of local capacity to provide medical and 
     rehabilitation services for individuals with disabilities, 
     including victims of civil strife and warfare, in foreign 
     countries, such as--
       ``(A) support for and training of medical professionals, 
     including surgeons, nurses, and physical therapists, to 
     provide effective emergency and other medical care and for 
     the development of training manuals relating to first aid and 
     other medical treatment;
       ``(B) support for sustainable prosthetic and orthotic 
     services; and
       ``(C) psychological and social rehabilitation of such 
     individuals, together with their families as appropriate, for 
     the reintegration of such individuals into local communities.
       ``(2) Support for policy reform and educational efforts 
     related to the needs and abilities of individuals with 
     disabilities, including victims of civil strife and warfare.
       ``(3) Coordination of programs established pursuant to 
     subsection (a) with existing programs for individuals with 
     disabilities, including victims of civil strife and warfare, 
     in foreign countries.
       ``(4) Support for establishment of appropriate entities in 
     foreign countries to coordinate programs, projects, and 
     activities related to assistance for individuals with 
     disabilities, including victims of civil strife and warfare.
       ``(5) Support for primary, secondary, and vocational 
     education, public awareness and training programs and other 
     activities that help prevent war-related injuries and assist 
     individuals with disabilities, including victims of civil 
     strife and warfare, with their reintegration into society and 
     their ability to make sustained social and economic 
     contributions to society.
       ``(c) Priority.--To the maximum extent feasible, assistance 
     under this section shall be provided through nongovernmental 
     organizations, and, as appropriate, through governments to 
     establish appropriate norms, standards, and policies related 
     to rehabilitation and issues affecting individuals with 
     disabilities, including victims of civil strife and warfare.
       ``(d) Funding.--Amounts made available to carry out the 
     other provisions of this part (including chapter 4 of part II 
     of this Act) and the Support for East European Democracy 
     (SEED) Act of 1989 are authorized to be made available to 
     carry out this section and are authorized to be provided 
     notwithstanding any other provision of law.''.

     SEC. 4. RESEARCH, PREVENTION, AND ASSISTANCE RELATED TO 
                   INTERNATIONAL DISABILITIES AND LANDMINE AND 
                   OTHER WAR VICTIMS.

       (a) Authorization.--
       (1) In general.--The Secretary of Health and Human 
     Services, acting through the Director of the Centers for 
     Disease Control and Prevention, is authorized--
       (A) to conduct programs in foreign countries related to 
     individuals with disabilities, including victims of landmines 
     and other victims of civil strife and warfare;
       (B) to provide grants to nongovernmental organizations for 
     the purpose of carrying out research, prevention, public 
     awareness and assistance programs in foreign countries 
     related to individuals with disabilities, including victims 
     of landmines and other victims of civil strife and warfare.
       (2) Approval of secretary of state.--Activities under 
     programs established pursuant to paragraph (1) may be carried 
     out in foreign countries only in coordination with the 
     Administrator of the United States Agency for International 
     Development, and upon approval for such activities in such 
     countries by the Secretary of State.
       (b) Activities.--Programs established pursuant to 
     subsection (a) may include the following activities:
       (1) Research on trauma, physical, psychological, and social 
     rehabilitation, and continuing medical care related to 
     individuals with disabilities, including victims of landmines 
     and other victims of civil strife and warfare, including--
       (A) conducting research on psychological and social factors 
     that lead to successful recovery;
       (B) developing, testing, and evaluating model interventions 
     that reduce post-traumatic stress and promote health and 
     well-being;
       (C) developing basic instruction tools for initial medical 
     response to traumatic injuries; and
       (D) developing basic instruction manuals for patients and 
     healthcare providers, including for emergency and follow-up 
     care, proper amputation procedures, and reconstructive 
     surgery.
       (2) Facilitation of peer support networks for individuals 
     with disabilities, including victims of landmines and other 
     victims of civil strife and warfare, in foreign countries, 
     including--
       (A) establishment of organizations at the local level, 
     administered by such individuals, to assess and address the 
     physical, psychological, economic and social rehabilitation 
     and other needs of such individuals, together with their 
     families as appropriate, for the purpose of economic and 
     social reintegration into local communities; and
       (B) training related to the implementation of such peer 
     support networks, including training of outreach workers to 
     assist in the establishment of organizations such as those 
     described in subparagraph (A) and assistance to facilitate 
     the use of the networks by such individuals.
       (3) Sharing of expertise from limb-loss and disability 
     research centers in the United States with similar centers 
     and facilities in war-affected countries, including promoting 
     increased health for individuals with limb loss and limb 
     deficiency and epidemiological research on secondary medical 
     conditions related to limb loss and limb deficiency.
       (4) Developing a database of best practices to address the 
     needs of the war-related disabled through comprehensive 
     examination of support activities related to such disability 
     and access to medical care and supplies.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary of Health and Human 
     Services to carry out this section such sums as may be 
     necessary for each of fiscal years 2003 through 2004.

     SEC. 5. EXPERTISE OF THE DEPARTMENT OF VETERANS AFFAIRS.

       The Secretary of Veterans Affairs is authorized--
       (1) to provide advice and expertise on prosthetics, 
     orthotics, physical and psychological rehabilitation and 
     treatment, and disability assistance to other Federal 
     departments and agencies, including providing for temporary 
     assignment on a non-reimbursable basis of appropriate 
     Department of Veterans Affairs personnel, with respect to the 
     implementation of programs to provide assistance to victims 
     of landmines and other victims of civil strife and warfare in 
     foreign countries and landmine research and health-related 
     programs, including programs established pursuant to section 
     135 of the Foreign Assistance Act of 1961 (as added by 
     section 3 of this Act) and programs established pursuant to 
     section 4 of this Act; and
       (2) to provide technical assistance to private voluntary 
     organizations on a reimbursable basis with respect to the 
     planning, development, operation, and evaluation of such 
     landmine assistance, research, and prevention programs.

                          ____________________